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GSPL - Swing Trade Analysis with AI Signals

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Rating: 3.8

Last Updated Time : 05 May 26, 03:23 pm

📊 Swing Trade Rating: 3.8

Stock Code GSPL Market Cap 16,370 Cr. Current Price 290 ₹ High / Low 361 ₹
Stock P/E 23.1 Book Value 195 ₹ Dividend Yield 1.72 % ROCE 9.60 %
ROE 7.67 % Face Value 10.0 ₹ DMA 50 272 ₹ DMA 200 294 ₹
Chg in FII Hold 0.05 % Chg in DII Hold 0.28 % PAT Qtr 114 Cr. PAT Prev Qtr 382 Cr.
RSI 68.0 MACD 7.17 Volume 6,90,708 Avg Vol 1Wk 5,41,340
Low price 226 ₹ High price 361 ₹ PEG Ratio -3.19 Debt to equity 0.00
52w Index 47.5 % Qtr Profit Var -15.7 % EPS 12.6 ₹ Industry PE 15.6

GSPL shows fair valuation but weak earnings momentum, making it a cautious candidate for swing trading. The stock trades at a P/E of 23.1, higher than the industry average of 15.6, while efficiency metrics like ROCE (9.60%) and ROE (7.67%) are modest. Technical indicators (RSI 68.0, MACD 7.17) suggest bullish momentum but nearing overbought territory. The optimal entry price would be near the 50 DMA level of ₹270–275. If already holding, consider exiting around ₹350–360, close to resistance levels and the 52-week high.

✅ Positive

  • P/E ratio (23.1) is not excessively high compared to peers.
  • EPS of ₹12.6 supports earnings stability.
  • Dividend yield of 1.72% provides moderate income.
  • FII (+0.05%) and DII (+0.28%) holdings increased, showing investor confidence.
  • Debt-free structure (Debt-to-equity 0.00) ensures financial safety.

⚠️ Limitation

  • ROCE (9.60%) and ROE (7.67%) are modest compared to industry leaders.
  • Quarterly PAT declined sharply from ₹382 Cr. to ₹114 Cr.
  • PEG ratio (-3.19) indicates valuation concerns relative to growth.
  • RSI (68.0) suggests the stock is nearing overbought territory.

📉 Company Negative News

  • Quarterly profit decline raises concerns about earnings consistency.
  • Efficiency metrics remain weak compared to peers.

📈 Company Positive News

  • Dividend yield adds investor appeal.
  • Institutional investors increased holdings (FII and DII).
  • Debt-free balance sheet provides financial stability.

🏭 Industry

  • Industry P/E is 15.6, lower than GSPL’s 23.1, suggesting relative overvaluation.
  • Gas transmission sector benefits from rising energy demand but faces regulatory and pricing risks.

🔎 Conclusion

GSPL is a fundamentally fair but modestly efficient stock, making it a cautious swing trade candidate. Entry near ₹270–275 offers a safer setup, while profit booking should be considered around ₹350–360. Traders should monitor earnings consistency and technical indicators before committing heavily.

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