ELECON - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.6
| Stock Code | ELECON | Market Cap | 12,101 Cr. | Current Price | 539 ₹ | High / Low | 683 ₹ |
| Stock P/E | 34.1 | Book Value | 91.3 ₹ | Dividend Yield | 0.37 % | ROCE | 22.4 % |
| ROE | 19.2 % | Face Value | 1.00 ₹ | DMA 50 | 503 ₹ | DMA 200 | 493 ₹ |
| Chg in FII Hold | -0.96 % | Chg in DII Hold | 1.19 % | PAT Qtr | 97.0 Cr. | PAT Prev Qtr | 61.9 Cr. |
| RSI | 55.5 | MACD | 12.9 | Volume | 6,02,122 | Avg Vol 1Wk | 9,83,448 |
| Low price | 352 ₹ | High price | 683 ₹ | PEG Ratio | 1.47 | Debt to equity | 0.12 |
| 52w Index | 56.6 % | Qtr Profit Var | -22.7 % | EPS | 21.2 ₹ | Industry PE | 38.8 |
📊 ELECON shows decent fundamentals and moderate technical strength for swing trading. ROCE (22.4%) and ROE (19.2%) are healthy, while debt-to-equity is low (0.12). EPS of 21.2 ₹ supports profitability, and P/E ratio (34.1) is slightly below industry average (38.8), suggesting fair valuation. RSI at 55.5 indicates neutral momentum, and MACD at 12.9 shows mild bullishness. The stock trades above both 50 DMA (503 ₹) and 200 DMA (493 ₹), confirming an uptrend. However, quarterly profit variation (-22.7%) and FII reduction (-0.96%) are concerns.
💡 Optimal Entry Price: Around 500–510 ₹ (near 50 DMA support).
📈 Exit Strategy: If already holding, consider exiting near 570–590 ₹ (short-term resistance) or trail stop-loss if momentum continues.
Positive
- 📌 [Strong ROCE](ca://s?q=ELECON_ROCE): ROCE of 22.4% reflects efficient capital use.
- 📌 [Healthy ROE](ca://s?q=ELECON_ROE): ROE of 19.2% indicates solid shareholder returns.
- 📌 [Low Debt](ca://s?q=ELECON_debt_equity): Debt-to-equity ratio of 0.12 shows financial stability.
- 📌 [DII Support](ca://s?q=ELECON_DII_holdings): Domestic institutional investors increased holdings by 1.19%.
Limitation
- ⚠️ [Profit Decline](ca://s?q=ELECON_quarterly_profit): Quarterly profit variation at -22.7% shows weakening earnings momentum.
- ⚠️ [FII Reduction](ca://s?q=ELECON_FII_holdings): Foreign institutional investors reduced holdings by 0.96%.
- ⚠️ [Volume Weakness](ca://s?q=ELECON_trading_volume): Current trading volume is lower than 1-week average, indicating reduced activity.
Company Negative News
- ❌ [Quarterly Profit Drop](ca://s?q=ELECON_profit_drop): PAT fell from 97 Cr to 61.9 Cr.
- ❌ [FII Exit](ca://s?q=ELECON_FII_exit): Foreign investors reduced holdings significantly.
Company Positive News
- ✅ [Strong EPS](ca://s?q=ELECON_EPS): EPS of 21.2 ₹ highlights profitability.
- ✅ [Dividend Yield](ca://s?q=ELECON_dividend_yield): Yield of 0.37% provides shareholder returns.
- ✅ [Market Cap Strength](ca://s?q=ELECON_market_cap): Market cap of 12,101 Cr indicates industry relevance.
Industry
- 🏭 [Industry PE](ca://s?q=Engineering_industry_PE): Industry average P/E is 38.8, slightly higher than ELECON’s valuation.
- 🏭 [Sector Outlook](ca://s?q=Engineering_sector_outlook): Engineering sector benefits from infrastructure growth and industrial demand.
Conclusion
📈 ELECON is a moderately good candidate for swing trading. Fundamentals are strong, valuation is fair, and technicals show mild bullishness. Entry near 500–510 ₹ offers a favorable setup, with exit targets around 570–590 ₹. Risks include profit decline and FII reduction, but overall stability and DII support make it suitable for cautious swing trades.