FORTIS - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 3.5

📈 Analysis: FORTIS shows a moderately favorable swing trade setup with improving technicals but weak fundamentals. The current price of ₹1,020 is above both the 50 DMA (₹998) and 200 DMA (₹827), indicating a bullish trend continuation. MACD at 9.49 supports upward momentum, though RSI at 46.0 suggests the stock is neither overbought nor oversold. The recent surge in PAT (₹38 Cr. vs ₹6.86 Cr.) is a positive trigger, but the extremely high P/E of 438 and low ROE/ROCE raise valuation and efficiency concerns. Institutional activity is mixed, with FII interest rising and DII slightly declining.

🎯 Optimal Entry Price: ₹990–₹1,005 (near 50 DMA support)

🚪 Exit Strategy (if holding): Consider exiting near ₹1,080–₹1,100 (resistance zone) or if RSI crosses 65 with weakening volume.

✅ Positive

• 📈 Price trading above 50 & 200 DMA — bullish trend
• 📊 Strong QoQ PAT growth (41.5%) — earnings momentum
• 📈 MACD positive — upward momentum confirmed
• 📈 FII holding increased (+0.72%) — foreign investor confidence

⚠️ Limitation

• 📉 Extremely high P/E (438) — overvaluation risk
• 📉 Low ROCE (3.27%) and ROE (1.41%) — weak capital efficiency
• 📉 PEG ratio of 2.79 — expensive relative to growth
• 📉 DII holding decreased (-0.65%) — domestic caution

📰 Company Negative News

• No major negative news reported, but valuation and return ratios remain key concerns

🌟 Company Positive News

• Quarterly profit jump and rising FII interest suggest improving sentiment and operational performance

🏭 Industry

• Industry P/E is 57.2 — FORTIS trades at a significant premium
• Healthcare sector remains resilient with long-term growth drivers like aging population and medical tourism

🧾 Conclusion

FORTIS is a moderately attractive swing trade candidate with bullish technicals and improving earnings. Entry near 50 DMA offers a favorable setup, but exit near resistance is advised due to valuation concerns and weak return ratios.

I can also compare FORTIS with peers like Apollo Hospitals or Max Healthcare to help refine your swing trade strategy.