GAIL - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.5
| Stock Code | GAIL | Market Cap | 1,14,464 Cr. | Current Price | 174 ₹ | High / Low | 195 ₹ |
| Stock P/E | 16.4 | Book Value | 113 ₹ | Dividend Yield | 4.31 % | ROCE | 10.7 % |
| ROE | 9.64 % | Face Value | 10.0 ₹ | DMA 50 | 165 ₹ | DMA 200 | 167 ₹ |
| Chg in FII Hold | -1.03 % | Chg in DII Hold | 0.74 % | PAT Qtr | 1,262 Cr. | PAT Prev Qtr | 1,603 Cr. |
| RSI | 61.4 | MACD | 3.50 | Volume | 1,28,44,357 | Avg Vol 1Wk | 1,16,44,151 |
| Low price | 134 ₹ | High price | 195 ₹ | PEG Ratio | 1.72 | Debt to equity | 0.29 |
| 52w Index | 64.6 % | Qtr Profit Var | -38.4 % | EPS | 10.6 ₹ | Industry PE | 15.1 |
📊 GAIL shows fair fundamentals and moderate technicals for swing trading. The P/E ratio (16.4) is slightly above industry average (15.1), suggesting fair valuation. ROCE (10.7%) and ROE (9.64%) are modest, while EPS of 10.6 ₹ supports profitability. Dividend yield of 4.31% is attractive for investors. Debt-to-equity is manageable at 0.29. RSI at 61.4 indicates mild strength, while MACD at 3.50 shows bullish momentum. The stock trades above both 50 DMA (165 ₹) and 200 DMA (167 ₹), confirming an uptrend. PAT declined (1,262 Cr vs 1,603 Cr), with quarterly profit variation at -38.4%. FII holdings decreased (-1.03%), while DII holdings increased (+0.74%).
💡 Optimal Entry Price: Around 165–170 ₹ (near DMA support).
📈 Exit Strategy: If already holding, consider exiting near 185–190 ₹ (short-term resistance) or trail stop-loss if momentum continues.
Positive
- 📌 [Fair Valuation](ca://s?q=GAIL_PE_ratio): P/E of 16.4 is close to industry average (15.1).
- 📌 [Attractive Dividend](ca://s?q=GAIL_dividend_yield): Yield of 4.31% provides strong shareholder returns.
- 📌 [Uptrend Confirmation](ca://s?q=GAIL_DMA_trend): Stock trades above both 50 DMA and 200 DMA.
- 📌 [DII Support](ca://s?q=GAIL_DII_holdings): Domestic institutional investors increased holdings by 0.74%.
Limitation
- ⚠️ [Weak Returns](ca://s?q=GAIL_ROCE_ROE): ROCE at 10.7% and ROE at 9.64% are modest.
- ⚠️ [Profit Decline](ca://s?q=GAIL_quarterly_profit): PAT fell from 1,603 Cr to 1,262 Cr (-38.4%).
- ⚠️ [FII Reduction](ca://s?q=GAIL_FII_holdings): Foreign institutional investors reduced holdings by 1.03%.
Company Negative News
- ❌ [Quarterly Profit Drop](ca://s?q=GAIL_profit_drop): PAT decreased compared to previous quarter.
- ❌ [FII Exit](ca://s?q=GAIL_FII_exit): Foreign investors reduced holdings.
Company Positive News
- ✅ [Dividend Yield](ca://s?q=GAIL_dividend_yield): Yield of 4.31% provides strong shareholder returns.
- ✅ [Market Cap Strength](ca://s?q=GAIL_market_cap): Market cap of 1,14,464 Cr indicates industry relevance.
Industry
- 🏭 [Industry PE](ca://s?q=Energy_industry_PE): Industry average P/E is 15.1, close to GAIL’s valuation.
- 🏭 [Sector Outlook](ca://s?q=Energy_sector_outlook): Energy sector benefits from rising demand, though profitability remains cyclical.
Conclusion
📈 GAIL is a moderately good candidate for swing trading. Fundamentals are fair, dividend yield is attractive, and technicals show mild bullishness. Entry near 165–170 ₹ offers a favorable setup, with exit targets around 185–190 ₹. Risks include profit decline and FII reduction, but strong market cap and DII support make it suitable for cautious swing trades.