BPCL - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 4.0
| Stock Code | BPCL | Market Cap | 1,24,081 Cr. | Current Price | 286 ₹ | High / Low | 392 ₹ |
| Stock P/E | 5.05 | Book Value | 211 ₹ | Dividend Yield | 6.12 % | ROCE | 19.6 % |
| ROE | 18.7 % | Face Value | 10.0 ₹ | DMA 50 | 352 ₹ | DMA 200 | 344 ₹ |
| Chg in FII Hold | 1.93 % | Chg in DII Hold | -1.75 % | PAT Qtr | 7,545 Cr. | PAT Prev Qtr | 6,443 Cr. |
| RSI | 19.9 | MACD | -19.6 | Volume | 1,61,41,937 | Avg Vol 1Wk | 1,42,46,559 |
| Low price | 262 ₹ | High price | 392 ₹ | PEG Ratio | 0.38 | Debt to equity | 0.24 |
| 52w Index | 18.5 % | Qtr Profit Var | 62.3 % | EPS | 53.8 ₹ | Industry PE | 13.1 |
Analysis: Bharat Petroleum Corporation Ltd (BPCL) is showing strong fundamentals with a very low P/E of 5.05 compared to the industry average of 13.1, making it undervalued. The company has solid ROCE (19.6%) and ROE (18.7%), along with a healthy dividend yield of 6.12%. PAT rose from ₹6,443 Cr. to ₹7,545 Cr., reflecting strong earnings momentum. However, technically the stock is weak: current price ₹286 is well below both 50 DMA (₹352) and 200 DMA (₹344), RSI at 19.9 indicates oversold conditions, and MACD is negative. This suggests short-term bearishness but potential for a rebound. Swing trade potential is strong if entered near support levels.
Optimal Entry Price: Around ₹270–₹280, close to recent lows, as RSI indicates oversold territory.
Exit Strategy (if already holding): Consider exiting near ₹340–₹350, where resistance aligns with the 200 DMA. A stop-loss near ₹260 is advisable to manage downside risk.
✅ Positive
- Low P/E (5.05) compared to industry average (13.1).
- Strong ROCE (19.6%) and ROE (18.7%).
- High dividend yield of 6.12% adds investor value.
- Quarterly PAT growth (+62.3%) shows strong earnings momentum.
- FII holdings increased (+1.93%), showing foreign investor confidence.
⚠️ Limitation
- Stock trading below both 50 & 200 DMA, showing weak technicals.
- RSI at 19.9 indicates oversold but also strong bearish sentiment.
- MACD remains negative, confirming weak momentum.
📰 Company Negative News
- DII holdings declined (-1.75%), showing reduced domestic institutional support.
- Stock corrected significantly from its 52-week high of ₹392.
🌟 Company Positive News
- Strong quarterly profit growth (+62.3%).
- EPS of ₹53.8 reflects strong earnings power.
- FII holdings increased (+1.93%), boosting investor sentiment.
🏭 Industry
- Oil & gas sector remains cyclical but benefits from global demand recovery.
- Industry P/E at 13.1 indicates moderate valuations compared to BPCL’s attractive pricing.
📌 Conclusion
BPCL is fundamentally strong and undervalued, with high dividend yield and strong earnings growth. Despite weak technicals, oversold RSI suggests a rebound opportunity. Entry near ₹270–₹280 is favorable, with exit around ₹340–₹350. Overall, BPCL is a good candidate for swing trading with strong upside potential.