BRITANNIA - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.7
| Stock Code | BRITANNIA | Market Cap | 1,25,385 Cr. | Current Price | 5,205 ₹ | High / Low | 6,337 ₹ |
| Stock P/E | 48.9 | Book Value | 193 ₹ | Dividend Yield | 1.74 % | ROCE | 61.4 % |
| ROE | 60.1 % | Face Value | 1.00 ₹ | DMA 50 | 5,385 ₹ | DMA 200 | 5,636 ₹ |
| Chg in FII Hold | 0.75 % | Chg in DII Hold | -0.73 % | PAT Qtr | 685 Cr. | PAT Prev Qtr | 688 Cr. |
| RSI | 43.5 | MACD | -62.8 | Volume | 2,79,674 | Avg Vol 1Wk | 2,79,206 |
| Low price | 5,035 ₹ | High price | 6,337 ₹ | PEG Ratio | 5.33 | Debt to equity | 0.29 |
| 52w Index | 13.0 % | Qtr Profit Var | 23.0 % | EPS | 106 ₹ | Industry PE | 49.5 |
BRITANNIA shows moderate potential for swing trading. The company has strong fundamentals with excellent profitability ratios (ROCE 61.4%, ROE 60.1%) and a healthy dividend yield of 1.74%. However, valuations are stretched with a P/E of 48.9 compared to the industry average of 49.5, and PEG ratio of 5.33 suggests expensive growth. Technical indicators are weak — RSI at 43.5 indicates oversold conditions, while MACD at -62.8 signals bearish momentum. Quarterly PAT remained stable (688 Cr. → 685 Cr.), showing consistency but limited growth. Overall, BRITANNIA is fundamentally strong but technically weak, making it a cautious swing trade candidate.
Optimal Entry Price: 5,100–5,150 ₹ (near support below DMA 50)
Exit Strategy: If already holding, consider exiting near 5,400–5,500 ₹ resistance or if RSI rises above 55.
✅ Positive
- 📈 Exceptional ROCE of 61.4% and ROE of 60.1%.
- 💰 Dividend yield of 1.74% provides income support.
- 📊 Stable quarterly PAT (688 Cr. → 685 Cr.).
- 📉 Support near DMA 50 at 5,385 ₹ offers a potential entry zone.
⚠️ Limitation
- 📌 High P/E ratio of 48.9 vs industry average of 49.5.
- 📌 PEG ratio of 5.33 suggests expensive valuation relative to growth.
- 📌 RSI at 43.5 indicates weak momentum.
- 📌 MACD (-62.8) signals bearish trend.
📰 Company Negative News
- 📉 Reduction in DII holding (-0.73%).
- 📉 Technical weakness with RSI and MACD in bearish territory.
🌟 Company Positive News
- 📈 Increase in FII holding (+0.75%).
- 📈 Strong EPS of 106 ₹ indicates robust earnings power.
- 📈 Consistent quarterly PAT performance.
🏭 Industry
- 🥨 Packaged food and FMCG sector benefits from strong consumer demand and brand loyalty.
- 📌 Industry P/E at 49.5, showing BRITANNIA trades at a fair valuation relative to peers.
📌 Conclusion
BRITANNIA is fundamentally strong with excellent profitability and consistent earnings, but technical indicators suggest caution. Entry near 5,100–5,150 ₹ offers better risk-reward, while exit near 5,400–5,500 ₹ is optimal. Traders should monitor RSI and MACD closely for confirmation of momentum before entering positions.