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EIHOTEL - Swing Trade Analysis with AI Signals

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Rating: 3.6

Last Updated Time : 20 Mar 26, 12:29 pm

Swing Trade Rating: 3.6

Stock Code EIHOTEL Market Cap 19,670 Cr. Current Price 314 ₹ High / Low 435 ₹
Stock P/E 28.2 Book Value 68.6 ₹ Dividend Yield 0.48 % ROCE 21.9 %
ROE 17.5 % Face Value 2.00 ₹ DMA 50 331 ₹ DMA 200 358 ₹
Chg in FII Hold 0.23 % Chg in DII Hold -0.04 % PAT Qtr 219 Cr. PAT Prev Qtr 97.6 Cr.
RSI 43.8 MACD -3.70 Volume 1,77,598 Avg Vol 1Wk 2,23,026
Low price 300 ₹ High price 435 ₹ PEG Ratio 0.27 Debt to equity 0.04
52w Index 10.2 % Qtr Profit Var -1.24 % EPS 10.7 ₹ Industry PE 27.8

📊 EIHOTEL shows relatively strong fundamentals compared to peers, with healthy ROCE (21.9%) and ROE (17.5%). The P/E of 28.2 is aligned with the industry average (27.8), suggesting fair valuation. Technical indicators show mild weakness (RSI 43.8, MACD -3.7), but the stock is near support levels (300 ₹). This makes it a moderate candidate for swing trading with cautious positioning.

💡 Optimal Entry Price: Around 305–315 ₹ (near support zone).

📉 Exit Strategy (if already holding): Consider booking profits near 350–360 ₹ (DMA 200 resistance) unless momentum strengthens.

Positive

  • Strong ROCE (21.9%) and ROE (17.5%) indicate efficient capital use.
  • Low debt-to-equity ratio (0.04), showing financial stability.
  • PEG ratio of 0.27 suggests growth at reasonable valuation.
  • Recent PAT growth (219 Cr. vs 97.6 Cr.) highlights operational strength.

Limitation

  • Current price (314 ₹) is below DMA 50 (331 ₹) and DMA 200 (358 ₹), showing technical weakness.
  • Quarterly profit variation slightly negative (-1.24%).
  • Dividend yield is modest at 0.48%, offering limited income support.

Company Negative News

  • Quarterly profit variation indicates slight slowdown.
  • Stock trading below key moving averages, reflecting short-term weakness.

Company Positive News

  • Quarterly PAT surged significantly compared to previous quarter.
  • FII holdings increased (+0.23%), showing foreign investor confidence.
  • Strong EPS (10.7 ₹) supports valuation stability.

Industry

  • Industry P/E (27.8) is in line with company’s P/E (28.2), suggesting fair pricing.
  • Hospitality sector showing recovery momentum, benefiting companies like EIHOTEL.

Conclusion

✅ EIHOTEL is a moderately good swing trade candidate. Strong fundamentals and fair valuation support potential upside, though technical weakness requires caution. Entry near 305–315 ₹ offers favorable risk-reward, with exit targets around 350–360 ₹. A strict stop-loss near 295 ₹ is advisable to manage downside risk.

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