APLAPOLLO - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.2
| Stock Code | APLAPOLLO | Market Cap | 53,573 Cr. | Current Price | 1,930 ₹ | High / Low | 2,301 ₹ |
| Stock P/E | 109 | Book Value | 114 ₹ | Dividend Yield | 0.30 % | ROCE | 14.7 % |
| ROE | 10.7 % | Face Value | 2.00 ₹ | DMA 50 | 2,054 ₹ | DMA 200 | 1,857 ₹ |
| Chg in FII Hold | -0.60 % | Chg in DII Hold | 0.99 % | PAT Qtr | 120 Cr. | PAT Prev Qtr | 106 Cr. |
| RSI | 36.0 | MACD | -49.2 | Volume | 5,52,583 | Avg Vol 1Wk | 6,63,777 |
| Low price | 1,367 ₹ | High price | 2,301 ₹ | PEG Ratio | -8.01 | Debt to equity | 0.25 |
| 52w Index | 60.2 % | Qtr Profit Var | 38.7 % | EPS | 17.8 ₹ | Industry PE | 17.9 |
📊 APL Apollo shows strong market capitalization and steady profit growth (+38.7% quarterly variation). However, fundamentals are stretched with a very high P/E (109 vs. industry 17.9), weak ROCE (14.7%) and ROE (10.7%), and negative PEG ratio (-8.01). Technical indicators are bearish: RSI at 36 (oversold) and MACD negative (-49.2). The stock is trading below its 50 DMA (2,054 ₹) but above its 200 DMA (1,857 ₹), suggesting mixed momentum. Overall, it is a moderate swing trade candidate with caution advised.
💡 Optimal Entry Price: Around 1,850–1,900 ₹ (near DMA 200 support).
🚪 Exit Strategy (if already holding): Consider exiting near 2,050–2,100 ₹ resistance zone unless momentum strengthens.
✅ Positive
- Quarterly profit growth (+38.7%) shows improving earnings trend.
- Large market cap (53,573 Cr.) ensures liquidity and institutional interest.
- DII holdings increased (+0.99%), showing domestic institutional support.
- EPS of 17.8 ₹ supports valuation base.
⚠️ Limitation
- Extremely high P/E (109) compared to industry average (17.9).
- Weak technical indicators (RSI oversold, MACD negative).
- Dividend yield is low (0.30%), offering limited income support.
- Negative PEG ratio (-8.01) suggests poor growth relative to valuation.
📉 Company Negative News
- FII holdings decreased (-0.60%), showing reduced foreign investor confidence.
- Technical weakness may limit short-term upside.
📈 Company Positive News
- Quarterly PAT improved (120 Cr. vs. 106 Cr.).
- Stock trading above 200 DMA (1,857 ₹), showing long-term support.
🏭 Industry
- Industry P/E is 17.9, far below APL Apollo’s, highlighting overvaluation.
- Steel and construction sector outlook remains strong, supporting demand.
🔎 Conclusion
APL Apollo is fundamentally overvalued but shows improving profits and strong sector support. Entry near 1,850–1,900 ₹ offers a safer swing trade setup. If already holding, consider exiting near 2,050–2,100 ₹ unless momentum improves beyond resistance.