GILLETTE - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.6
| Stock Code | GILLETTE | Market Cap | 25,955 Cr. | Current Price | 7,984 ₹ | High / Low | 11,505 ₹ |
| Stock P/E | 41.8 | Book Value | 357 ₹ | Dividend Yield | 1.50 % | ROCE | 56.1 % |
| ROE | 41.6 % | Face Value | 10.0 ₹ | DMA 50 | 8,279 ₹ | DMA 200 | 8,748 ₹ |
| Chg in FII Hold | -0.24 % | Chg in DII Hold | -0.26 % | PAT Qtr | 172 Cr. | PAT Prev Qtr | 144 Cr. |
| RSI | 40.9 | MACD | -130 | Volume | 23,607 | Avg Vol 1Wk | 24,603 |
| Low price | 7,551 ₹ | High price | 11,505 ₹ | PEG Ratio | 3.96 | Debt to equity | 0.00 |
| 52w Index | 11.0 % | Qtr Profit Var | 36.9 % | EPS | 190 ₹ | Industry PE | 41.8 |
📊 Gillette India shows moderate potential for swing trading. The RSI at 40.9 suggests the stock is nearing oversold levels, while MACD (-130) indicates weak momentum. Strong fundamentals are evident with ROCE at 56.1% and ROE at 41.6%, but valuation remains stretched with a P/E of 41.8 and a high PEG ratio of 3.96. The optimal entry price would be near support around 7,600–7,700 ₹. If already holding, consider exiting near resistance around 8,250–8,300 ₹ unless momentum improves.
✅ Positive
- Excellent profitability metrics: ROCE 56.1%, ROE 41.6%
- Debt-free balance sheet ensures financial stability
- Quarterly profit growth (PAT up from 144 Cr. to 172 Cr.)
- EPS of 190 ₹ reflects strong earnings power
⚠️ Limitation
- High P/E ratio (41.8) with stretched PEG (3.96)
- Weak technical indicators: RSI near oversold, MACD negative
- Price trading below both 50 DMA (8,279 ₹) and 200 DMA (8,748 ₹)
- Decline in institutional holdings (FII -0.24%, DII -0.26%)
📉 Company Negative News
- Reduced institutional investor confidence
- Stock underperforming relative to 52-week high (11,505 ₹)
📈 Company Positive News
- Strong quarterly profit growth (36.9% variation)
- Dividend yield of 1.50% adds shareholder value
- EPS strength supports long-term fundamentals
🏭 Industry
- Industry P/E at 41.8, in line with Gillette’s valuation
- Consumer goods sector remains resilient with steady demand
🔎 Conclusion
Gillette India is fundamentally strong with excellent profitability and zero debt, but short-term technical weakness and high valuation limit swing trade potential. Entry around 7,600–7,700 ₹ is optimal, with exit near 8,250–8,300 ₹ if resistance holds. Long-term investors may continue holding due to strong fundamentals, while swing traders should remain cautious until momentum indicators turn positive.