ASHOKLEY - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.8
| Stock Code | ASHOKLEY | Market Cap | 98,999 Cr. | Current Price | 169 ₹ | High / Low | 215 ₹ |
| Stock P/E | 26.9 | Book Value | 19.6 ₹ | Dividend Yield | 1.85 % | ROCE | 36.5 % |
| ROE | 31.4 % | Face Value | 1.00 ₹ | DMA 50 | 189 ₹ | DMA 200 | 160 ₹ |
| Chg in FII Hold | 0.09 % | Chg in DII Hold | 0.14 % | PAT Qtr | 1,026 Cr. | PAT Prev Qtr | 801 Cr. |
| RSI | 31.8 | MACD | -7.31 | Volume | 2,08,18,125 | Avg Vol 1Wk | 2,12,02,616 |
| Low price | 95.2 ₹ | High price | 215 ₹ | PEG Ratio | 0.07 | Debt to equity | 0.12 |
| 52w Index | 61.0 % | Qtr Profit Var | 34.7 % | EPS | 5.80 ₹ | Industry PE | 34.2 |
📊 ASHOKLEY shows strong fundamentals but weak technicals, making it a moderately good candidate for swing trading. The RSI at 31.8 suggests oversold conditions, while MACD remains negative (-7.31), confirming bearish momentum. The stock is trading below its 50 DMA (189 ₹) but above its 200 DMA (160 ₹), reflecting short-term weakness but medium-term strength. Fundamentals are impressive: ROCE (36.5%) and ROE (31.4%) highlight efficiency, and PAT improved significantly (1,026 Cr vs. 801 Cr). EPS stands at 5.80 ₹, and dividend yield is attractive at 1.85%. Valuation is reasonable with a P/E of 26.9 vs. industry 34.2, and PEG ratio of 0.07 suggests strong growth potential. Institutional activity is supportive, with FII holdings up (+0.09%) and DII holdings up (+0.14%).
💡 Optimal Entry Price: Around 165–170 ₹ (near support zone).
📈 Exit Strategy if Holding: Consider exiting near 188–190 ₹ (close to 50 DMA resistance) unless momentum strengthens further.
✅ Positive
- Strong ROCE (36.5%) and ROE (31.4%) highlight excellent efficiency.
- Quarterly PAT growth (1,026 Cr vs. 801 Cr) shows strong operational improvement.
- Dividend yield of 1.85% adds investor appeal.
- Reasonable P/E (26.9) compared to industry average (34.2).
- Institutional confidence with both FII (+0.09%) and DII (+0.14%) increasing.
⚠️ Limitation
- Stock trading below 50 DMA indicates short-term weakness.
- RSI and MACD confirm bearish momentum.
- Book value (19.6 ₹) is relatively low compared to current price.
- Volume slightly lower than average, reducing short-term momentum.
📉 Company Negative News
- Short-term technical weakness with RSI oversold and MACD negative.
📈 Company Positive News
- Strong quarterly profit growth highlights operational resilience.
- Institutional support adds stability to outlook.
🏭 Industry
- Industry P/E at 34.2 is higher than ASHOKLEY’s 26.9, suggesting fair valuation.
- Automobile sector remains cyclical, with demand linked to infrastructure and commercial vehicle sales.
🔎 Conclusion
ASHOKLEY is fundamentally strong but technically weak in the short term, making it a moderate swing trade candidate. Entry near 165–170 ₹ offers a favorable setup, with exit targets around 188–190 ₹. Strong efficiency and profit growth support bullish potential, but caution is advised due to short-term technical weakness.