CEATLTD - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.7
| Stock Code | CEATLTD | Market Cap | 13,360 Cr. | Current Price | 3,305 ₹ | High / Low | 4,438 ₹ |
| Stock P/E | 15.4 | Book Value | 1,253 ₹ | Dividend Yield | 0.91 % | ROCE | 20.6 % |
| ROE | 18.5 % | Face Value | 10.0 ₹ | DMA 50 | 3,591 ₹ | DMA 200 | 3,590 ₹ |
| Chg in FII Hold | -0.37 % | Chg in DII Hold | 0.42 % | PAT Qtr | 291 Cr. | PAT Prev Qtr | 235 Cr. |
| RSI | 39.1 | MACD | -18.9 | Volume | 5,23,211 | Avg Vol 1Wk | 9,07,715 |
| Low price | 3,000 ₹ | High price | 4,438 ₹ | PEG Ratio | 0.28 | Debt to equity | 0.64 |
| 52w Index | 21.2 % | Qtr Profit Var | 127 % | EPS | 201 ₹ | Industry PE | 24.1 |
Analysis: CEATLTD shows strong fundamentals with ROCE at 20.6% and ROE at 18.5%, supported by a reasonable debt-to-equity ratio of 0.64. EPS at 201 ₹ and PEG ratio of 0.28 suggest undervaluation relative to growth. However, technical indicators are weak: RSI at 39.1 (near oversold), MACD negative (-18.9), and price trading below both 50 DMA (3,591 ₹) and 200 DMA (3,590 ₹). Despite strong quarterly PAT growth (127%), the stock is currently under bearish pressure.
Optimal Entry Price: Around 3,150–3,200 ₹ (near support zone).
Exit Strategy: If already holding, consider profit booking near 3,550–3,600 ₹ resistance, or exit if price falls below 3,000 ₹.
✅ Positive
- Strong quarterly profit growth (127%).
- EPS of 201 ₹ supports valuation strength.
- PEG ratio of 0.28 indicates undervaluation relative to growth.
- Healthy ROCE (20.6%) and ROE (18.5%).
⚠️ Limitation
- RSI at 39.1 indicates weak momentum.
- MACD negative (-18.9), showing bearish trend.
- Price trading below both 50 DMA and 200 DMA.
- Dividend yield modest at 0.91%.
📉 Company Negative News
- FII holdings decreased (-0.37%).
📈 Company Positive News
- DII holdings increased (+0.42%), showing domestic institutional support.
- PAT improved from 235 Cr. to 291 Cr.
🏭 Industry
- Industry PE is 24.1, higher than CEATLTD’s 15.4, suggesting undervaluation.
- Tyre and automotive sector benefits from rising demand, though cyclical risks remain.
📝 Conclusion
CEATLTD is a moderate swing trade candidate with strong earnings growth and undervaluation compared to peers. Entry near 3,150–3,200 ₹ offers a favorable setup, with profit booking near 3,550–3,600 ₹ advisable. Weak technicals suggest caution, and strict stop-loss discipline is essential.