FORTIS - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.8
| Stock Code | FORTIS | Market Cap | 61,808 Cr. | Current Price | 818 ₹ | High / Low | 1,105 ₹ |
| Stock P/E | 354 | Book Value | 122 ₹ | Dividend Yield | 0.12 % | ROCE | 3.27 % |
| ROE | 1.41 % | Face Value | 10.0 ₹ | DMA 50 | 887 ₹ | DMA 200 | 867 ₹ |
| Chg in FII Hold | -0.06 % | Chg in DII Hold | 0.19 % | PAT Qtr | 24.7 Cr. | PAT Prev Qtr | 105 Cr. |
| RSI | 36.0 | MACD | -19.3 | Volume | 23,69,512 | Avg Vol 1Wk | 20,51,535 |
| Low price | 521 ₹ | High price | 1,105 ₹ | PEG Ratio | 2.25 | Debt to equity | 0.22 |
| 52w Index | 50.9 % | Qtr Profit Var | -30.0 % | EPS | 2.16 ₹ | Industry PE | 43.5 |
📊 FORTIS shows weak fundamentals and stretched valuation. The P/E of 354 is extremely high compared to the industry average (43.5), while ROCE (3.27%) and ROE (1.41%) are very low, indicating poor efficiency. EPS is just 2.16 ₹, and quarterly PAT dropped sharply (24.7 Cr. vs 105 Cr.), raising concerns. Technical indicators (RSI 36.0, MACD -19.3) suggest bearish momentum, and the stock is trading below DMA 50 (887 ₹) and DMA 200 (867 ₹). This makes FORTIS a weak candidate for swing trading, suitable only for cautious short-term plays near support.
💡 Optimal Entry Price: Around 800–820 ₹ (close to support zone near 780–800 ₹).
📉 Exit Strategy (if already holding): Consider booking profits near 860–880 ₹ (DMA resistance) unless fundamentals improve.
Positive
- DII holdings increased (+0.19%), showing domestic institutional support.
- Large market cap (61,808 Cr.) provides stability in the healthcare sector.
- Dividend yield of 0.12% offers minimal but positive income support.
Limitation
- Extremely high P/E (354) compared to industry average (43.5), showing severe overvaluation.
- Weak ROCE (3.27%) and ROE (1.41%) indicate poor efficiency.
- Quarterly PAT dropped significantly, showing earnings pressure.
- Dividend yield is very low, offering negligible investor appeal.
Company Negative News
- Quarterly PAT fell sharply (24.7 Cr. vs 105 Cr.).
- FII holdings decreased (-0.06%), showing reduced foreign investor confidence.
- Stock trading below DMA 50 and DMA 200, reflecting technical weakness.
Company Positive News
- DII holdings increased (+0.19%), showing domestic support.
- Strong brand presence in healthcare services provides long-term stability.
Industry
- Industry P/E is 43.5, far below FORTIS’s 354, highlighting extreme premium valuation.
- Healthcare sector remains resilient, supported by rising demand, but company-specific fundamentals are weak.
Conclusion
⚠️ FORTIS is a weak swing trade candidate due to poor fundamentals, extreme valuation, and bearish technicals. Entry near 800–820 ₹ may offer limited upside, but risks outweigh rewards. Exit targets should be set around 860–880 ₹, with a strict stop-loss near 780 ₹ to manage downside risk.