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ABLBL - Swing Trade Analysis with AI Signals

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Rating: 2.8

Last Updated Time : 05 Feb 26, 02:09 am

Swing Trade Rating: 2.8

Stock Code ABLBL Market Cap 14,207 Cr. Current Price 116 ₹ High / Low 176 ₹
Stock P/E 81.4 Book Value 10.8 ₹ Dividend Yield 0.00 % ROCE %
ROE 10.7 % Face Value 10.0 ₹ DMA 50 119 ₹ DMA 200 136 ₹
Chg in FII Hold -5.34 % Chg in DII Hold 5.57 % PAT Qtr 97.3 Cr. PAT Prev Qtr 22.6 Cr.
RSI 54.5 MACD -3.72 Volume 20,23,501 Avg Vol 1Wk 25,84,090
Low price 101 ₹ High price 176 ₹ Debt to equity 2.56 52w Index 20.6 %
Qtr Profit Var 59.0 % EPS Industry PE 43.7

📊 ABLBL shows mixed signals for swing trading. The stock is trading below its 200 DMA (136 ₹) and slightly below the 50 DMA (119 ₹), indicating weak technical strength. Valuation is stretched with a P/E of 81.4 compared to industry PE of 43.7. Profitability is modest with ROE at 10.7%, and debt-to-equity ratio (2.56) is high, adding financial risk. On the positive side, quarterly PAT surged significantly (22.6 Cr. → 97.3 Cr.), and DII holdings increased strongly (+5.57%). Overall, it is a cautious candidate for swing trading.

💡 Optimal Entry Price: Around 110–115 ₹ (near support zone above 101 ₹).

🚪 Exit Strategy (if already holding): Consider exiting near 135–140 ₹ resistance levels or if price falls below 105 ₹ support.

✅ Positive

  • Quarterly PAT growth (22.6 Cr. → 97.3 Cr.) shows strong earnings momentum.
  • DII holdings increased significantly (+5.57%), reflecting domestic institutional confidence.
  • RSI at 54.5 indicates neutral momentum, leaving room for upside.
  • Trading volume remains healthy (20.2 lakh), supporting liquidity.

⚠️ Limitation

  • Stock trading below 200 DMA (136 ₹), showing medium-term weakness.
  • High P/E ratio (81.4) compared to industry PE (43.7), suggesting overvaluation.
  • Debt-to-equity ratio (2.56) is high, raising financial risk.
  • Dividend yield is 0.00%, offering no income support.
  • MACD (-3.72) indicates bearish momentum.

📉 Company Negative News

  • FII holdings decreased sharply (-5.34%), showing reduced foreign investor confidence.
  • Stock trading near lower end of 52-week index (20.6%), reflecting underperformance.

📈 Company Positive News

  • Quarterly profit variation (+59%) highlights strong earnings recovery.
  • DII inflows (+5.57%) provide strong domestic support.

🏭 Industry

  • Industry PE is 43.7, lower than company’s 81.4, highlighting premium valuation.
  • Sector outlook remains stable, but company-specific leverage and valuation risks are high.

🔎 Conclusion

ABLBL is overvalued with high debt and weak technical momentum, making it a cautious swing trade candidate. Entry near 110–115 ₹ is possible for short-term traders, but strict stop-loss below 105 ₹ is essential. For holders, exit near 135–140 ₹ resistance is advisable unless earnings growth continues to support valuations.

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