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ACE - Swing Trade Analysis with AI Signals

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Rating: 3.7

Last Updated Time : 20 Jun 26, 10:45 pm

📊 Swing Trade Rating: 3.7

Stock Code ACE Market Cap 11,613 Cr. Current Price 975 ₹ High / Low 1,236 ₹
Stock P/E 27.3 Book Value 168 ₹ Dividend Yield 0.20 % ROCE 32.5 %
ROE 23.6 % Face Value 2.00 ₹ DMA 50 899 ₹ DMA 200 952 ₹
Chg in FII Hold -0.82 % Chg in DII Hold 0.08 % PAT Qtr 109 Cr. PAT Prev Qtr 116 Cr.
RSI 68.3 MACD 19.4 Volume 4,03,891 Avg Vol 1Wk 5,77,030
Low price 745 ₹ High price 1,236 ₹ PEG Ratio 0.71 Debt to equity 0.00
52w Index 46.8 % Qtr Profit Var -8.08 % EPS 35.7 ₹ Industry PE 30.6

ACE shows good potential for swing trading. Technical indicators (RSI 68.3, MACD positive, price above 50DMA and 200DMA) suggest bullish momentum, though RSI indicates nearing overbought levels. Fundamentals are strong with high ROCE (32.5%), ROE (23.6%), and zero debt, but quarterly profit decline (-8.08%) raises caution. Valuation is fair (P/E 27.3 vs industry 30.6, PEG 0.71). The optimal entry price is near 950–960 ₹ (200DMA support). If already holding, consider exiting near 1,200–1,230 ₹, close to recent highs, unless momentum continues strongly.

✅ Positive

  • 📈 Strong ROCE (32.5%) and ROE (23.6%), showing efficient capital use.
  • 💹 Price trading above 50DMA (899 ₹) and 200DMA (952 ₹), confirming bullish trend.
  • 💰 Debt-free balance sheet (0.00 debt-to-equity), reducing financial risk.
  • 📊 EPS at 35.7 ₹, reflecting profitability.
  • 📈 PEG ratio (0.71) suggests fair valuation relative to growth.

⚠️ Limitation

  • 📉 RSI at 68.3 indicates overbought conditions, risk of short-term correction.
  • 📊 Quarterly PAT decline (109 Cr vs 116 Cr), showing earnings slowdown.
  • 📉 Dividend yield low at 0.20%, limiting income potential.
  • 📊 Trading volume lower than weekly average, showing reduced liquidity.

📰 Company Negative News

  • 📉 Decline in FII holding (-0.82%), reflecting reduced foreign investor confidence.
  • 📉 Quarterly profit fell by -8.08%, showing margin pressure.

🌟 Company Positive News

  • 📈 EPS at 35.7 ₹, reflecting strong profitability.
  • 📊 Increase in DII holding (+0.08%), showing domestic institutional support.

🏭 Industry

  • 📊 Industry PE at 30.6, slightly higher than ACE’s 27.3, suggesting fair valuation.
  • 📈 Capital goods sector showing strong demand, supporting growth outlook.

📌 Conclusion

ACE is technically strong and fundamentally solid with zero debt and strong efficiency metrics. It is a good candidate for short-term swing trades, but caution is warranted due to overbought RSI and recent profit decline. Entry near support (950–960 ₹) and exit near resistance (1,200–1,230 ₹) is advisable.

Would you like me to extend this with a capital goods sector outlook or a peer comparison to refine the swing trade strategy?

Technical Analysis
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