⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.

ESCORTS - Swing Trade Analysis with AI Signals

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Rating: 3.9

Last Updated Time : 05 Feb 26, 02:16 am

Swing Trade Rating: 3.9

Stock Code ESCORTS Market Cap 40,076 Cr. Current Price 3,590 ₹ High / Low 4,180 ₹
Stock P/E 33.1 Book Value 1,064 ₹ Dividend Yield 0.78 % ROCE 13.7 %
ROE 12.8 % Face Value 10.0 ₹ DMA 50 3,633 ₹ DMA 200 3,567 ₹
Chg in FII Hold -0.02 % Chg in DII Hold 0.40 % PAT Qtr 321 Cr. PAT Prev Qtr 315 Cr.
RSI 50.1 MACD -57.0 Volume 3,11,226 Avg Vol 1Wk 2,11,968
Low price 2,776 ₹ High price 4,180 ₹ PEG Ratio 1.75 Debt to equity 0.01
52w Index 58.0 % Qtr Profit Var 6.12 % EPS 209 ₹ Industry PE 33.6

📊 ESCORTS shows moderate-to-strong potential for swing trading. The fundamentals are decent with ROCE (13.7%) and ROE (12.8%), very low debt-to-equity (0.01), and consistent profitability (EPS 209 ₹). The P/E ratio (33.1) is in line with the industry average (33.6), suggesting fair valuation. Technically, the stock is hovering around its 50 DMA (3,633 ₹) and 200 DMA (3,567 ₹), showing consolidation. RSI at 50.1 indicates neutral momentum, while MACD (-57.0) signals short-term weakness. Strong volume compared to weekly average suggests active trading interest. Overall, the stock offers a cautious swing trade opportunity.

💡 Optimal Entry Price: Around 3,500–3,550 ₹ (near support zone close to 200 DMA).

🚪 Exit Strategy: If already holding, consider exiting near 3,700–3,750 ₹ (resistance zone above 50 DMA) unless momentum strengthens further.

✅ Positive

  • EPS of 209 ₹ highlights strong profitability.
  • Debt-to-equity ratio of 0.01 shows virtually debt-free status.
  • Dividend yield of 0.78% provides shareholder returns.
  • PAT improved slightly from 315 Cr. to 321 Cr. (+6.12%).
  • DII holdings increased (+0.40%), showing domestic institutional support.

⚠️ Limitation

  • ROCE (13.7%) and ROE (12.8%) are moderate compared to peers.
  • MACD negative (-57.0), signaling short-term bearishness.
  • Stock trading near DMA levels, showing consolidation rather than clear trend.
  • PEG ratio of 1.75 suggests moderate overvaluation relative to growth.

📉 Company Negative News

  • FII holdings decreased slightly (-0.02%), showing reduced foreign investor confidence.
  • Technical indicators point to short-term weakness.

📈 Company Positive News

  • Quarterly PAT growth (+6.12%) indicates steady performance.
  • Strong trading volume above weekly average shows active market interest.
  • DII holdings increased, reflecting domestic support.

🏭 Industry

  • Industry PE at 33.6, nearly equal to company’s PE (33.1), suggesting fair valuation.
  • Automobile and agri-machinery sector outlook remains stable with cyclical demand.

🔎 Conclusion

ESCORTS is fundamentally stable and fairly valued, but technical indicators show consolidation with short-term weakness. It offers a cautious swing trade opportunity with entry around 3,500–3,550 ₹ and exit near 3,700–3,750 ₹. Traders should monitor momentum indicators closely before aggressive entry, as upside potential depends on a breakout above DMA levels.

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