CROMPTON - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 4.0
| Stock Code | CROMPTON | Market Cap | 17,538 Cr. | Current Price | 272 ₹ | High / Low | 364 ₹ |
| Stock P/E | 35.6 | Book Value | 56.1 ₹ | Dividend Yield | 1.10 % | ROCE | 20.1 % |
| ROE | 16.5 % | Face Value | 2.00 ₹ | DMA 50 | 252 ₹ | DMA 200 | 276 ₹ |
| Chg in FII Hold | -0.06 % | Chg in DII Hold | 0.38 % | PAT Qtr | 112 Cr. | PAT Prev Qtr | 85.3 Cr. |
| RSI | 63.2 | MACD | 6.55 | Volume | 76,37,855 | Avg Vol 1Wk | 1,03,49,312 |
| Low price | 217 ₹ | High price | 364 ₹ | PEG Ratio | -20.6 | Debt to equity | 0.05 |
| 52w Index | 37.4 % | Qtr Profit Var | 0.17 % | EPS | 7.21 ₹ | Industry PE | 46.7 |
Analysis: Crompton Greaves Consumer (CROMPTON) shows a balanced profile. Current price (272 ₹) is above DMA 50 (252 ₹) but slightly below DMA 200 (276 ₹), suggesting near-term resistance. RSI at 63.2 indicates mildly overbought conditions, while MACD (6.55) supports bullish momentum. Fundamentals are decent with ROCE (20.1%) and ROE (16.5%), supported by low debt-to-equity (0.05). Quarterly PAT improved (112 Cr. vs 85.3 Cr.), but valuation is stretched with P/E of 35.6 compared to industry PE of 46.7. PEG ratio (-20.6) highlights growth concerns despite stable earnings.
Optimal Entry Price: Around 260–265 ₹ (near support zone).
Exit Strategy if Holding: Consider booking profits near 285–295 ₹ unless momentum breaks above 300 ₹ resistance.
✅ Positive
- Strong ROCE (20.1%) and ROE (16.5%).
- Debt-to-equity ratio of 0.05 ensures financial stability.
- Quarterly PAT growth (112 Cr. vs 85.3 Cr.) shows improving performance.
- DII holdings increased (+0.38%), reflecting domestic investor confidence.
⚠️ Limitation
- Valuation premium with P/E of 35.6.
- RSI at 63.2 indicates mildly overbought conditions.
- FII holdings decreased (-0.06%), showing reduced foreign interest.
- PEG ratio (-20.6) suggests weak growth prospects.
📰 Company Negative News
- No major negative news reported, but valuation and growth concerns remain.
🌟 Company Positive News
- Quarterly profit growth supports investor sentiment.
- Low debt enhances financial flexibility.
🏭 Industry
- Industry P/E at 46.7 suggests Crompton trades at a discount compared to peers.
- Consumer electricals sector remains resilient with steady demand.
📌 Conclusion
Crompton is a reasonably good candidate for swing trading. Entry around 260–265 ₹ offers a favorable risk-reward setup, while exit near 285–295 ₹ is advisable unless momentum breaks above 300 ₹. Strong fundamentals and low debt are positives, but valuation and growth concerns warrant cautious optimism.
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