ADANIENT - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.9
| Stock Code | ADANIENT | Market Cap | 2,56,795 Cr. | Current Price | 2,224 ₹ | High / Low | 2,613 ₹ |
| Stock P/E | 110 | Book Value | 242 ₹ | Dividend Yield | 0.06 % | ROCE | 12.9 % |
| ROE | 12.1 % | Face Value | 1.00 ₹ | DMA 50 | 2,177 ₹ | DMA 200 | 2,322 ₹ |
| Chg in FII Hold | -0.08 % | Chg in DII Hold | -0.13 % | PAT Qtr | 563 Cr. | PAT Prev Qtr | 666 Cr. |
| RSI | 57.9 | MACD | -34.5 | Volume | 21,79,049 | Avg Vol 1Wk | 25,82,323 |
| Low price | 1,848 ₹ | High price | 2,613 ₹ | PEG Ratio | 2.05 | Debt to equity | 0.59 |
| 52w Index | 49.2 % | Qtr Profit Var | 4.55 % | EPS | 118 ₹ | Industry PE | 101 |
📊 ADANIENT shows a mixed outlook for swing trading. While the stock is trading above its 50 DMA (2,177 ₹), it remains below the 200 DMA (2,322 ₹), indicating medium-term weakness. Valuation is stretched with a P/E of 110 compared to industry PE of 101. Profitability ratios (ROCE 12.9%, ROE 12.1%) are moderate, but quarterly PAT declined from 666 Cr. to 563 Cr. Technical indicators are weak: RSI at 57.9 is neutral, while MACD (-34.5) signals bearish momentum. Overall, it is a cautious candidate for swing trading.
💡 Optimal Entry Price: Around 2,170–2,200 ₹ (near 50 DMA support).
🚪 Exit Strategy (if already holding): Consider exiting near 2,600–2,610 ₹ resistance levels or if price falls below 2,150 ₹ support.
✅ Positive
- EPS of 118 ₹ supports earnings strength despite volatility.
- Stock trading above 50 DMA (2,177 ₹), showing short-term support.
- PEG ratio (2.05) indicates some growth potential relative to valuation.
- Large market cap (2,56,795 Cr.) provides stability.
⚠️ Limitation
- High P/E ratio (110) compared to industry PE (101), suggesting overvaluation.
- Dividend yield is very low (0.06%), offering negligible income support.
- MACD (-34.5) indicates bearish momentum.
- Stock trading below 200 DMA (2,322 ₹), showing medium-term weakness.
📉 Company Negative News
- Quarterly PAT declined from 666 Cr. to 563 Cr., showing earnings pressure.
- Both FII (-0.08%) and DII (-0.13%) holdings decreased, reflecting reduced institutional confidence.
- Trading volume lower than average (21,79,049 vs 25,82,323), showing reduced liquidity.
📈 Company Positive News
- Quarterly profit variation (+4.55%) indicates slight improvement compared to prior year.
- Strong EPS (118 ₹) supports valuation despite high P/E.
- Stock trading at mid-range of 52-week index (49.2%), leaving room for upside.
🏭 Industry
- Industry PE is 101, close to company’s 110, suggesting valuation premium but not extreme.
- Sector outlook remains stable, but company-specific earnings volatility is a concern.
🔎 Conclusion
ADANIENT is moderately valued relative to peers but shows weak technical momentum and declining profits. Entry near 2,170–2,200 ₹ is possible for swing traders, but strict stop-loss below 2,150 ₹ is essential. For holders, exit near 2,600–2,610 ₹ resistance is advisable unless earnings momentum strengthens significantly.