FSL - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.4
| Stock Code | FSL | Market Cap | 17,301 Cr. | Current Price | 245 ₹ | High / Low | 404 ₹ |
| Stock P/E | 33.9 | Book Value | 32.5 ₹ | Dividend Yield | 2.25 % | ROCE | 21.2 % |
| ROE | 20.9 % | Face Value | 10.0 ₹ | DMA 50 | 248 ₹ | DMA 200 | 281 ₹ |
| Chg in FII Hold | -0.35 % | Chg in DII Hold | 0.30 % | PAT Qtr | 140 Cr. | PAT Prev Qtr | 144 Cr. |
| RSI | 46.2 | MACD | -0.98 | Volume | 17,59,758 | Avg Vol 1Wk | 14,29,664 |
| Low price | 201 ₹ | High price | 404 ₹ | PEG Ratio | 1.22 | Debt to equity | 0.42 |
| 52w Index | 21.8 % | Qtr Profit Var | 51.6 % | EPS | 6.11 ₹ | Industry PE | 21.0 |
📊 FSL shows fair fundamentals and mixed technicals for swing trading. ROCE (21.2%) and ROE (20.9%) are strong, EPS of 6.11 ₹ supports profitability, and dividend yield of 2.25% adds shareholder value. The P/E ratio (33.9) is higher than industry average (21.0), suggesting overvaluation. RSI at 46.2 indicates neutral momentum, while MACD at -0.98 shows mild bearishness. The stock trades near its 50 DMA (248 ₹) but below 200 DMA (281 ₹), indicating short-term weakness. PAT slightly declined (140 Cr vs 144 Cr), though quarterly profit variation (+51.6%) shows improvement year-on-year. FII holdings decreased (-0.35%), while DII holdings increased (+0.30%).
💡 Optimal Entry Price: Around 240–245 ₹ (near support).
📈 Exit Strategy: If already holding, consider exiting near 260–270 ₹ (short-term resistance) or trail stop-loss if momentum fails to recover.
Positive
- 📌 [Strong ROCE](ca://s?q=FSL_ROCE): ROCE of 21.2% reflects efficient capital use.
- 📌 [Healthy ROE](ca://s?q=FSL_ROE): ROE of 20.9% indicates solid shareholder returns.
- 📌 [Dividend Yield](ca://s?q=FSL_dividend_yield): Yield of 2.25% provides shareholder returns.
- 📌 [Quarterly Profit Growth](ca://s?q=FSL_quarterly_profit_growth): Year-on-year profit variation of +51.6% shows improvement.
Limitation
- ⚠️ [High Valuation](ca://s?q=FSL_high_PE): P/E ratio of 33.9 is above industry average (21.0).
- ⚠️ [Technical Weakness](ca://s?q=FSL_DMA_trend): Stock trades below 200 DMA, showing weakness.
- ⚠️ [FII Reduction](ca://s?q=FSL_FII_holdings): Foreign institutional investors reduced holdings by 0.35%.
Company Negative News
- ❌ [PAT Decline](ca://s?q=FSL_profit_decline): PAT fell slightly from 144 Cr to 140 Cr.
- ❌ [FII Exit](ca://s?q=FSL_FII_exit): Foreign investors reduced holdings.
Company Positive News
- ✅ [Profit Growth](ca://s?q=FSL_profit_growth): Year-on-year profit variation of +51.6% shows recovery.
- ✅ [Strong EPS](ca://s?q=FSL_EPS): EPS of 6.11 ₹ supports valuation.
- ✅ [Market Cap Strength](ca://s?q=FSL_market_cap): Market cap of 17,301 Cr indicates industry relevance.
Industry
- 🏭 [Industry PE](ca://s?q=IT_services_industry_PE): Industry average P/E is 21.0, lower than FSL’s valuation.
- 🏭 [Sector Outlook](ca://s?q=IT_services_sector_outlook): IT services sector benefits from digital transformation and outsourcing demand.
Conclusion
📉 FSL is a moderately good candidate for swing trading. Fundamentals are strong, dividend yield adds value, and profit growth is encouraging. However, technical weakness and overvaluation limit upside. Entry near 240–245 ₹ offers a cautious setup, with exit targets around 260–270 ₹. Risks include PAT decline and FII reduction, making this stock suitable for cautious traders with strict stop-loss discipline.