GODIGIT - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.4
| Stock Code | GODIGIT | Market Cap | 29,230 Cr. | Current Price | 316 ₹ | High / Low | 381 ₹ |
| Stock P/E | 57.2 | Book Value | 0.00 ₹ | Dividend Yield | 0.00 % | ROCE | 10.8 % |
| ROE | 11.9 % | Face Value | 10.0 ₹ | DMA 50 | 337 ₹ | DMA 200 | 341 ₹ |
| Chg in FII Hold | -0.22 % | Chg in DII Hold | 0.22 % | PAT Qtr | 140 Cr. | PAT Prev Qtr | 117 Cr. |
| RSI | 34.8 | MACD | -5.56 | Volume | 2,07,500 | Avg Vol 1Wk | 3,35,316 |
| Low price | 265 ₹ | High price | 381 ₹ | PEG Ratio | 1.13 | 52w Index | 44.0 % |
| Qtr Profit Var | 18.2 % | EPS | 5.53 ₹ | Industry PE | 33.8 |
📊 GoDigit shows moderate fundamentals with improving profits but weak technical signals. The high P/E compared to industry average, low ROE/ROCE, and absence of dividend yield make it less attractive fundamentally. Technical indicators (RSI 34.8, MACD negative, price below both 50 & 200 DMA) suggest bearish momentum. It is a cautious candidate for swing trading, suitable only for short-term trades with strict stop-loss levels.
💡 Optimal Entry Price: Around 300–310 ₹ (near support zone).
📈 Exit Strategy: If already holding, consider booking profits near 340–350 ₹ resistance, or exit if price falls below 290 ₹.
Positive ✅
- Quarterly PAT growth from 117 Cr. to 140 Cr. (+18.2%) shows earnings improvement.
- DII holdings increased (+0.22%), reflecting domestic institutional support.
- PEG ratio of 1.13 suggests fair valuation relative to growth.
- EPS of 5.53 ₹ indicates profitability visibility.
Limitation ⚠️
- High P/E of 57.2 vs industry average of 33.8 indicates overvaluation.
- ROE (11.9%) and ROCE (10.8%) are modest compared to peers.
- No dividend yield, limiting passive income potential.
- RSI at 34.8 indicates oversold conditions but also weak momentum.
- MACD negative (-5.56) signals bearish undertone.
- Price trading below both 50 DMA (337 ₹) and 200 DMA (341 ₹), showing weakness.
- FII holdings declined (-0.22%), signaling reduced foreign investor confidence.
Company Negative News 📉
- No major negative news reported, but weak technical signals and declining FII interest are concerns.
Company Positive News 📈
- Quarterly profit growth (+18.2%) shows improving performance.
- Insurance sector demand supports long-term business visibility.
Industry 🌐
- Industry P/E at 33.8 highlights sector trades at a premium.
- Insurance sector benefits from rising penetration and regulatory support.
Conclusion 📝
GoDigit is a cautious swing trade candidate with improving earnings but weak technicals and high valuations. Entry near 300–310 ₹ offers limited risk. Exit around 340–350 ₹ or below 290 ₹ if momentum weakens. Suitable for short-term trades, but investors should remain cautious due to bearish signals and premium valuation.