⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.

ACE - Swing Trade Analysis with AI Signals

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Rating: 4.1

Last Updated Time : 05 May 26, 02:25 pm

📊 Swing Trade Rating: 4.1

Stock Code ACE Market Cap 10,598 Cr. Current Price 890 ₹ High / Low 1,390 ₹
Stock P/E 24.4 Book Value 149 ₹ Dividend Yield 0.22 % ROCE 40.1 %
ROE 28.5 % Face Value 2.00 ₹ DMA 50 879 ₹ DMA 200 972 ₹
Chg in FII Hold -0.82 % Chg in DII Hold 0.08 % PAT Qtr 116 Cr. PAT Prev Qtr 104 Cr.
RSI 51.7 MACD 13.3 Volume 2,19,696 Avg Vol 1Wk 2,18,834
Low price 745 ₹ High price 1,390 ₹ PEG Ratio 0.43 Debt to equity 0.08
52w Index 22.4 % Qtr Profit Var 8.15 % EPS 36.5 ₹ Industry PE 34.7

Analysis: ACE is trading at ₹890, slightly above its 50 DMA (₹879) but below its 200 DMA (₹972), showing short-term strength but medium-term weakness. RSI at 51.7 indicates neutral momentum, while MACD is positive (13.3), suggesting bullish potential. Fundamentals are strong with ROCE at 40.1% and ROE at 28.5%, supported by very low debt-to-equity (0.08). The PEG ratio of 0.43 indicates undervaluation relative to growth. However, FII holdings declined (-0.82%), which may signal reduced foreign confidence. Overall, ACE is a good candidate for swing trading with favorable risk-reward.

Optimal Entry Price: ₹870–885 (near 50 DMA support).

Exit Strategy: If already holding, consider profit booking near ₹960–980 (close to 200 DMA resistance).

✅ Positive

  • Strong ROCE (40.1%) and ROE (28.5%) show excellent efficiency.
  • Low debt-to-equity ratio (0.08) ensures financial stability.
  • PEG ratio of 0.43 indicates undervaluation.
  • Quarterly PAT growth of 8.15% (₹104 Cr. to ₹116 Cr.).

⚠️ Limitation

  • Stock trading below 200 DMA, showing medium-term weakness.
  • Dividend yield is low at 0.22%.
  • FII holdings declined (-0.82%), reducing foreign investor confidence.

📉 Company Negative News

  • Decline in FII holdings (-0.82%).

📈 Company Positive News

  • PAT increased from ₹104 Cr. to ₹116 Cr. quarter-on-quarter.
  • DII holdings increased slightly (+0.08%), showing domestic support.

🏭 Industry

  • Industry PE at 34.7, higher than company’s P/E (24.4), suggesting ACE is relatively undervalued.
  • Construction equipment sector benefits from infrastructure growth in India.

🔎 Conclusion

ACE is a strong candidate for swing trading with solid fundamentals and undervaluation relative to industry peers. Entry near ₹870–885 offers a favorable setup, while profit booking near ₹960–980 is advisable. Keep an eye on institutional investor trends and medium-term technical resistance.

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