BLUESTARCO - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.2
| Stock Code | BLUESTARCO | Market Cap | 36,986 Cr. | Current Price | 1,802 ₹ | High / Low | 2,050 ₹ |
| Stock P/E | 89.7 | Book Value | 139 ₹ | Dividend Yield | 0.50 % | ROCE | 22.8 % |
| ROE | 18.2 % | Face Value | 2.00 ₹ | DMA 50 | 1,801 ₹ | DMA 200 | 1,816 ₹ |
| Chg in FII Hold | -0.86 % | Chg in DII Hold | 1.02 % | PAT Qtr | 76.4 Cr. | PAT Prev Qtr | 69.9 Cr. |
| RSI | 50.3 | MACD | 21.0 | Volume | 3,20,775 | Avg Vol 1Wk | 5,97,554 |
| Low price | 1,450 ₹ | High price | 2,050 ₹ | PEG Ratio | 1.57 | Debt to equity | 0.41 |
| 52w Index | 58.7 % | Qtr Profit Var | -21.1 % | EPS | 18.4 ₹ | Industry PE | 48.8 |
Blue Star Co. (BLUESTARCO) presents mixed signals for swing trading. The stock is currently priced at ₹1,802, hovering around its 50 DMA (₹1,801) and 200 DMA (₹1,816), indicating consolidation. Strong ROCE (22.8%) and ROE (18.2%) reflect efficient capital use. However, the P/E ratio (89.7) is significantly higher than the industry average (48.8), suggesting overvaluation. Technical indicators (RSI 50.3, MACD positive) show neutral-to-slightly bullish momentum. Quarterly PAT improved marginally (₹69.9 Cr. → ₹76.4 Cr.), but profit variation remains negative (-21.1%).
🔑 Optimal Entry Price: ₹1,750–1,770, closer to support levels around ₹1,720.
📈 Exit Strategy (if already holding): Consider exiting near ₹1,950–2,000 resistance zone, or if price fails to sustain above ₹1,800 with volume confirmation.
✅ Positive
- Strong ROCE (22.8%) and ROE (18.2%)
- EPS at ₹18.4, showing consistent earnings
- DII holdings increased (+1.02%)
- Dividend yield at 0.50%, providing some income support
⚠️ Limitation
- Very high P/E ratio (89.7 vs. industry 48.8)
- Debt-to-equity ratio at 0.41, higher than peers
- Trading volumes below average, indicating weaker participation
📉 Company Negative News
- Quarterly profit variation negative (-21.1%)
- FII holdings decreased (-0.86%)
📈 Company Positive News
- Quarterly PAT improved from ₹69.9 Cr. to ₹76.4 Cr.
- MACD positive, suggesting bullish momentum
- DII confidence reflected in increased holdings
🏭 Industry
- Industry P/E at 48.8, lower than Blue Star’s valuation
- Consumer durables and cooling solutions sector has strong demand drivers
🔮 Conclusion
Blue Star Co. is a moderately risky candidate for swing trading. Fundamentals are solid, but overvaluation and declining profit variation are concerns. Entry near ₹1,750–1,770 with a stop-loss below ₹1,720 is advisable. Exit near ₹1,950–2,000 if momentum builds. Traders should remain cautious due to high valuation and mixed institutional sentiment.