AJANTPHARM - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.6
| Stock Code | AJANTPHARM | Market Cap | 38,459 Cr. | Current Price | 3,080 ₹ | High / Low | 3,315 ₹ |
| Stock P/E | 40.6 | Book Value | 338 ₹ | Dividend Yield | 0.91 % | ROCE | 31.2 % |
| ROE | 24.1 % | Face Value | 2.00 ₹ | DMA 50 | 3,001 ₹ | DMA 200 | 2,832 ₹ |
| Chg in FII Hold | 0.29 % | Chg in DII Hold | -0.22 % | PAT Qtr | 197 Cr. | PAT Prev Qtr | 245 Cr. |
| RSI | 53.0 | MACD | 20.1 | Volume | 53,496 | Avg Vol 1Wk | 1,08,910 |
| Low price | 2,330 ₹ | High price | 3,315 ₹ | PEG Ratio | 2.02 | Debt to equity | 0.01 |
| 52w Index | 76.1 % | Qtr Profit Var | 1.99 % | EPS | 75.8 ₹ | Industry PE | 32.5 |
AJANTPHARM shows strong fundamentals with high profitability (ROCE 31.2%, ROE 24.1%) and very low debt (0.01). The company has a healthy EPS (75.8 ₹) and trades above its DMA 200 (2,832 ₹), indicating bullish undertones. However, the P/E ratio of 40.6 is higher than the industry average (32.5), suggesting premium valuation. RSI at 53.0 is neutral, while MACD is positive, showing momentum. Quarterly profit declined slightly (197 Cr. vs 245 Cr.), which tempers short-term optimism.
💡 Optimal Entry Price: Around 2,950–3,000 ₹, closer to DMA 50 (3,001 ₹) for better risk-reward.
📈 Exit Strategy: If already holding, consider exiting near 3,250–3,300 ₹ or on weakness if RSI drops below 50.
✅ Positive
- 📈 Strong ROCE (31.2%) and ROE (24.1%).
- 💰 Very low debt to equity ratio (0.01).
- 📊 EPS of 75.8 ₹ supports earnings strength.
- 🌍 Increase in FII holding (+0.29%).
⚠️ Limitation
- 📉 High P/E ratio (40.6) compared to industry average (32.5).
- 📊 Slight decline in quarterly PAT (197 Cr. vs 245 Cr.).
- 📉 Decline in DII holding (-0.22%).
- 📊 PEG ratio of 2.02 suggests moderate overvaluation.
📰 Company Negative News
- ⚠️ Quarterly profit dipped by ~20% compared to the previous quarter.
🌟 Company Positive News
- 🚀 Strong fundamentals with consistent profitability.
- 📊 EPS growth remains robust despite quarterly dip.
🏭 Industry
- 📈 Industry P/E at 32.5, slightly lower than company’s 40.6, showing sector-wide premium valuations.
- 🌍 Pharma industry outlook remains favorable with long-term growth potential.
📌 Conclusion
AJANTPHARM is a fundamentally strong candidate for swing trading, though valuations are slightly stretched. Entry is safer around 2,950–3,000 ₹ near DMA 50. If already holding, exit near 3,250–3,300 ₹ to secure gains. Short-term traders should watch quarterly earnings trends and RSI levels for momentum confirmation.