BATAINDIA - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 2.8
| Stock Code | BATAINDIA | Market Cap | 9,612 Cr. | Current Price | 748 ₹ | High / Low | 1,288 ₹ |
| Stock P/E | 58.2 | Book Value | 123 ₹ | Dividend Yield | 1.20 % | ROCE | 12.2 % |
| ROE | 10.5 % | Face Value | 5.00 ₹ | DMA 50 | 705 ₹ | DMA 200 | 869 ₹ |
| Chg in FII Hold | 0.25 % | Chg in DII Hold | -0.92 % | PAT Qtr | 18.9 Cr. | PAT Prev Qtr | 71.9 Cr. |
| RSI | 62.6 | MACD | 6.23 | Volume | 32,18,639 | Avg Vol 1Wk | 33,31,552 |
| Low price | 605 ₹ | High price | 1,288 ₹ | PEG Ratio | -2.93 | Debt to equity | 0.87 |
| 52w Index | 21.0 % | Qtr Profit Var | -56.6 % | EPS | 10.4 ₹ | Industry PE | 43.4 |
BATAINDIA shows weak-to-moderate potential for swing trading. The valuation is stretched with a P/E of 58.2 compared to the industry average of 43.4, and the PEG ratio (-2.93) suggests poor valuation relative to growth. Fundamentals are modest: ROCE at 12.2% and ROE at 10.5% are average, while debt-to-equity at 0.87 is manageable but adds leverage risk. Technical indicators are mildly supportive: RSI at 62.6 indicates bullish momentum, and MACD at 6.23 shows positive strength. The stock is trading above its 50 DMA (705 ₹) but below its 200 DMA (869 ₹), showing short-term strength but long-term weakness. PAT declined sharply (18.9 Cr vs 71.9 Cr), raising concerns about earnings consistency. EPS at 10.4 ₹ remains modest, and volume is steady but not exceptional.
🔑 Optimal Entry Price: 730–740 ₹ (near 50 DMA support).
📤 Exit Strategy if Holding: Consider exiting near 780–800 ₹ resistance unless momentum strengthens.
✅ Positive
- 📈 EPS at 10.4 ₹ provides a stable earnings base.
- 📊 Dividend yield (1.20%) adds shareholder value.
- 📉 FII holdings increased (+0.25%), showing foreign investor confidence.
- 📈 Technicals show bullish momentum (RSI and MACD positive).
⚠️ Limitation
- 📉 High P/E ratio compared to industry peers.
- 📊 PEG ratio (-2.93) suggests poor valuation relative to growth.
- 📉 ROCE and ROE are modest.
- 📉 EPS remains low relative to valuation.
📰 Company Negative News
- 📉 Sharp decline in quarterly PAT (18.9 Cr vs 71.9 Cr).
- ⚠️ Profit variation (-56.6%) highlights earnings volatility.
- 📉 DII holdings decreased (-0.92%), showing reduced domestic confidence.
🌟 Company Positive News
- 📈 EPS remains positive despite weak profitability.
- 📊 Dividend yield supports shareholder returns.
- 📉 FII confidence with increased stake.
🏭 Industry
- 📊 Industry P/E at 43.4, lower than BATAINDIA, showing sector is moderately valued.
- 📈 Footwear and retail sector benefits from consumer demand recovery.
- ⚠️ Valuation gap may limit upside compared to peers.
📌 Conclusion
BATAINDIA is a weak-to-moderate swing trade candidate. Entry is best near 730–740 ₹ with cautious exit around 780–800 ₹. Fundamentals are modest, technicals show short-term strength, but high valuation and earnings volatility limit short-term upside. Suitable only for risk-tolerant traders with strict stop-loss discipline.