ABB - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.7
| Stock Code | ABB | Market Cap | 1,53,368 Cr. | Current Price | 7,236 ₹ | High / Low | 7,825 ₹ |
| Stock P/E | 91.8 | Book Value | 370 ₹ | Dividend Yield | 0.54 % | ROCE | 29.9 % |
| ROE | 22.4 % | Face Value | 2.00 ₹ | DMA 50 | 6,529 ₹ | DMA 200 | 5,859 ₹ |
| Chg in FII Hold | 0.55 % | Chg in DII Hold | 0.13 % | PAT Qtr | 434 Cr. | PAT Prev Qtr | 409 Cr. |
| RSI | 63.3 | MACD | 289 | Volume | 3,71,715 | Avg Vol 1Wk | 3,49,847 |
| Low price | 4,638 ₹ | High price | 7,825 ₹ | PEG Ratio | 3.09 | Debt to equity | 0.01 |
| 52w Index | 81.5 % | Qtr Profit Var | -18.4 % | EPS | 78.7 ₹ | Industry PE | 37.8 |
ABB shows decent potential for swing trading. Strong fundamentals (ROCE 29.9%, ROE 22.4%) and technical momentum (RSI 63.3, MACD positive, price above 50 & 200 DMA) support bullish sentiment. However, valuation is stretched with a P/E of 91.8 compared to industry 37.8, and quarterly profit variance (-18.4%) raises caution. Suitable for swing trades with disciplined entry and exit.
🎯 Optimal Entry Price
Entry around 6,500–6,600 ₹ (near 50 DMA support) is preferable for risk-managed swing trades.
🚪 Exit Strategy
If already holding, consider exiting near 7,700–7,800 ₹ resistance zone, or cut losses if price falls below 6,400 ₹.
✅ Positive
- Strong ROCE (29.9%) and ROE (22.4%).
- Low debt-to-equity ratio (0.01).
- EPS of 78.7 ₹ indicates earnings strength.
- Price trading above both 50 DMA and 200 DMA.
- FII holdings increased (+0.55%), showing foreign investor confidence.
⚠️ Limitation
- High P/E (91.8 vs industry 37.8).
- Dividend yield is low (0.54%).
- Book value (370 ₹) far below current price (7,236 ₹).
- Quarterly profit variance (-18.4%) indicates earnings pressure.
📰 Company Negative News
- Quarterly PAT growth slowed (434 Cr vs 409 Cr, variance -18.4%).
- Valuation concerns may limit upside potential.
🌟 Company Positive News
- Consistent profitability with PAT of 434 Cr.
- Strong technical momentum with RSI above 60 and MACD positive.
- Foreign investor confidence reflected in increased FII holdings.
🏭 Industry
- Industry P/E is 37.8, highlighting ABB’s overvaluation.
- Sector growth remains steady, favoring companies with strong fundamentals.
📌 Conclusion
ABB offers swing trade opportunities due to strong fundamentals and technical momentum. Entry near 6,500–6,600 ₹ with exit around 7,700–7,800 ₹ is advisable. However, stretched valuation and slowing profit growth demand strict stop-loss discipline.