AJANTPHARM - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 4.1
| Stock Code | AJANTPHARM | Market Cap | 36,216 Cr. | Current Price | 2,901 ₹ | High / Low | 3,228 ₹ |
| Stock P/E | 38.4 | Book Value | 330 ₹ | Dividend Yield | 0.97 % | ROCE | 33.0 % |
| ROE | 25.7 % | Face Value | 2.00 ₹ | DMA 50 | 2,835 ₹ | DMA 200 | 2,740 ₹ |
| Chg in FII Hold | 0.29 % | Chg in DII Hold | -0.22 % | PAT Qtr | 245 Cr. | PAT Prev Qtr | 250 Cr. |
| RSI | 57.5 | MACD | -11.7 | Volume | 1,65,926 | Avg Vol 1Wk | 81,507 |
| Low price | 2,330 ₹ | High price | 3,228 ₹ | PEG Ratio | 4.84 | Debt to equity | 0.01 |
| 52w Index | 63.6 % | Qtr Profit Var | -2.94 % | EPS | 75.5 ₹ | Industry PE | 30.2 |
Analysis: AJANTPHARM shows strong fundamentals with ROCE at 33% and ROE at 25.7%, well above industry averages. The current price (₹2,901) is above both the 50 DMA (₹2,835) and 200 DMA (₹2,740), indicating bullish technical strength. RSI at 57.5 suggests moderate momentum, though MACD at -11.7 signals short-term weakness. Valuation is slightly stretched with a P/E of 38.4 compared to industry 30.2, and PEG ratio of 4.84 indicates expensive growth. Debt-to-equity is very low (0.01), showing financial stability. Quarterly PAT dipped slightly from ₹250 Cr. to ₹245 Cr., but overall profitability remains strong.
Optimal Entry Price: ₹2,850–2,900 (near 50 DMA support).
Exit Strategy: If already holding, consider profit booking near ₹3,150–3,200. Exit if price falls below ₹2,800 with strong volume.
✅ Positive
- Strong ROCE (33%) and ROE (25.7%).
- Debt-to-equity ratio of 0.01, nearly debt-free.
- EPS of ₹75.5 indicates strong earnings power.
- FII holdings increased by 0.29%, showing foreign investor confidence.
⚠️ Limitation
- P/E ratio (38.4) higher than industry average (30.2).
- PEG ratio of 4.84 suggests overvaluation relative to growth.
- Quarterly PAT declined slightly (-2.94%).
- MACD negative (-11.7), showing short-term weakness.
📉 Company Negative News
- No major negative news reported, but slight profit decline is a concern.
📈 Company Positive News
- Strong fundamentals with high ROCE and ROE.
- Dividend yield of 0.97% adds investor appeal.
🏭 Industry
- Industry P/E at 30.2, lower than company’s 38.4.
- Pharma sector remains resilient with steady demand.
🔎 Conclusion
AJANTPHARM is a strong swing trade candidate with excellent fundamentals and bullish technicals. Entry near ₹2,850–2,900 offers favorable risk-reward. Exit near ₹3,150–3,200 or on breakdown below ₹2,800 ensures disciplined profit-taking.