AGARWALEYE - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.7
| Stock Code | AGARWALEYE | Market Cap | 13,428 Cr. | Current Price | 424 ₹ | High / Low | 568 ₹ |
| Stock P/E | 228 | Book Value | 61.8 ₹ | Dividend Yield | 0.00 % | ROCE | 5.94 % |
| ROE | 1.31 % | Face Value | 1.00 ₹ | DMA 50 | 454 ₹ | DMA 200 | 459 ₹ |
| Chg in FII Hold | -0.07 % | Chg in DII Hold | -0.14 % | PAT Qtr | 14.6 Cr. | PAT Prev Qtr | 4.95 Cr. |
| RSI | 36.7 | MACD | -7.96 | Volume | 1,78,356 | Avg Vol 1Wk | 1,78,929 |
| Low price | 327 ₹ | High price | 568 ₹ | PEG Ratio | 1.49 | Debt to equity | 0.30 |
| 52w Index | 40.0 % | Qtr Profit Var | 80.3 % | EPS | 1.75 ₹ | Industry PE | 43.5 |
📊 Agarwal Eye Hospital (AGARWALEYE) shows weak fundamentals with extremely high P/E (228), low ROCE (5.94%), and very low ROE (1.31%). Technical indicators are bearish (RSI 36.7, MACD -7.96, price below 50 & 200 DMA). Despite profit growth in the latest quarter, valuation and efficiency ratios make it a risky swing trade candidate.
💡 Optimal Entry Price: Around ₹420–430, near support levels.
📈 Exit Strategy (if already holding): Consider exiting near ₹455–465 if recovery occurs, or cut losses if price falls below ₹420 decisively.
Positive
- Quarterly PAT improved from ₹4.95 Cr. to ₹14.6 Cr. (+80.3%).
- PEG ratio of 1.49 suggests valuation is somewhat aligned with growth.
- Debt-to-equity ratio of 0.30 indicates manageable leverage.
- 52-week performance (+40%) shows strong past momentum.
Limitation
- Extremely high P/E (228) compared to industry average (43.5), suggesting steep overvaluation.
- Low ROCE (5.94%) and ROE (1.31%) indicate poor capital efficiency.
- EPS of ₹1.75 is modest relative to valuation.
- Price trading below both 50 DMA (454) and 200 DMA (459), confirming bearish trend.
Company Negative News
- FII holdings decreased (-0.07%), showing reduced foreign investor confidence.
- DII holdings also declined (-0.14%), reflecting weak domestic sentiment.
- Technical weakness with RSI near oversold zone and MACD negative.
Company Positive News
- Quarterly PAT growth (+80.3%) highlights operational improvement.
- Strong 52-week performance (+40%) shows investor interest despite weak fundamentals.
Industry
- Industry P/E at 43.5 is far lower than Agarwal Eye Hospital’s, suggesting the stock trades at a steep premium.
- Healthcare sector remains defensive and growth-oriented, driven by rising demand for specialized medical services.
Conclusion
⚖️ Agarwal Eye Hospital is fundamentally weak and technically bearish, with high valuation and poor efficiency ratios. Swing traders may cautiously enter near support (~₹420–430) and exit near resistance (~₹455–465). Conservative traders should avoid until technical indicators improve and earnings stabilize further.