BATAINDIA - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

BATAINDIA is currently a weak swing trade candidate due to poor technical indicators and steep earnings decline. Entry near ₹1,040 is ideal; exit around ₹1,160–₹1,180 if already held.

📈 Positive

• 📊 ROCE of 15.2% and ROE of 15.6% reflect decent capital efficiency.
• 💰 Dividend Yield of 1.78% offers modest passive income.
• 📉 Debt-to-equity ratio of 0.91 is manageable for a retail company.
• 📈 Industry PE of 42.5 supports long-term valuation potential.

⚠️ Limitation

• 📉 RSI at 27.1 and MACD at -30.6 indicate oversold and bearish momentum.
• 📉 Trading below DMA 50 and DMA 200 confirms downtrend.
• 📉 Quarterly PAT dropped from ₹54.9 Cr. to ₹18.7 Cr. (↓66%).
• 💸 High P/E of 75.0 vs industry average of 42.5 implies overvaluation.
• 📉 Volume significantly below average (1.16L vs 4.12L), showing weak participation.

📉 Company Negative News

• 📉 Q2FY26 profit slumped 72% QoQ to ₹19.93 Cr. due to revenue decline and rising expenses

  Goodreturns

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• 📉 Shares fell over 6% after earnings missed expectations, marking the steepest drop since August

  The Hindu BusinessLine

  +1

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• 📉 GST 2.0 transition disrupted retail demand, further impacting margins

  Fortune India

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📈 Company Positive News

• 📈 Despite weak results, promoter holding remains stable, indicating long-term confidence

  MarketsMojo.com

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• 📈 Management expects festive demand recovery in Q3 and improved cost control measures

  Fortune India

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👟 Industry

• 👟 Footwear sector faces short-term demand disruption due to regulatory changes and macro headwinds.
• 📊 Long-term growth supported by urbanization and rising disposable income.

✅ Conclusion

• 📉 BATAINDIA is a weak swing trade candidate with poor technicals and steep earnings decline.
• 📉 Optimal entry price: ₹1,040–₹1,050 (near support and oversold zone).
• 📈 Exit target: ₹1,160–₹1,180 (near DMA 50 and resistance).
• 📌 Wait for MACD reversal and RSI above 35 before entry.

Sources

The Hindu BusinessLine

+5

I can chart BATAINDIA’s RSI and MACD trends to help visualize its recovery potential—just let me know.