ENDURANCE - Swing Trade Analysis with AI Signals

Last Updated Time : 20 Dec 25, 07:01 am

Swing Trade Rating: 3.7

📊 ENDURANCE shows moderate potential for swing trading. The fundamentals are strong with low debt and consistent profitability, but technical indicators (RSI at 42.6, MACD negative, and price near 50 DMA resistance) suggest weak short-term momentum. Optimal entry would be around 2,600–2,620 ₹. If already holding, consider exiting near 2,950–3,000 ₹, provided momentum strengthens.

✅ Positive

• 📈 Strong ROCE (21.5%) and ROE (16.1%) highlight efficient capital utilization.
• 💰 Very low debt-to-equity (0.02) ensures financial stability.
• 📊 Consistent quarterly PAT growth (188 Cr. vs 166 Cr.).
• 🌍 Increase in FII holding (+0.30%) indicates foreign investor confidence.

⚠️ Limitation

• 📉 High P/E ratio (54.2) compared to industry average (30.0).
• 📊 PEG ratio of 2.91 suggests overvaluation relative to growth.
• 📉 RSI at 42.6 and negative MACD (-42.0) show weak momentum.
• 📉 Current trading volume below 1-week average, indicating reduced activity.

🚨 Company Negative News

No major negative news reported recently, but valuation concerns remain due to high P/E and limited short-term momentum.

🌟 Company Positive News

Steady profit growth, strong fundamentals, and rising FII interest support long-term confidence in the company.

🏭 Industry

The auto ancillary industry trades at an average P/E of 30.0. ENDURANCE trades at a premium, reflecting strong fundamentals but also potential overvaluation risk.

📌 Conclusion

ENDURANCE is fundamentally strong but technically weak in the short term. For swing trading, an entry near 2,600–2,620 ₹ is optimal. Exit strategy should target 2,950–3,000 ₹ if momentum improves. Caution is advised due to high valuation and weak technical indicators.

Would you like me to also highlight peer comparisons in the auto ancillary sector so you can see if ENDURANCE offers better swing trade potential than its competitors?