GUJGASLTD - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.6
| Stock Code | GUJGASLTD | Market Cap | 24,386 Cr. | Current Price | 354 ₹ | High / Low | 509 ₹ |
| Stock P/E | 21.0 | Book Value | 126 ₹ | Dividend Yield | 1.64 % | ROCE | 19.6 % |
| ROE | 14.3 % | Face Value | 2.00 ₹ | DMA 50 | 399 ₹ | DMA 200 | 423 ₹ |
| Chg in FII Hold | 0.12 % | Chg in DII Hold | 0.09 % | PAT Qtr | 266 Cr. | PAT Prev Qtr | 281 Cr. |
| RSI | 30.6 | MACD | -13.8 | Volume | 1,06,24,416 | Avg Vol 1Wk | 32,79,793 |
| Low price | 347 ₹ | High price | 509 ₹ | PEG Ratio | -5.47 | Debt to equity | 0.02 |
| 52w Index | 4.66 % | Qtr Profit Var | 19.8 % | EPS | 16.9 ₹ | Industry PE | 14.4 |
📊 Gujarat Gas (GUJGASLTD) shows moderate swing trade potential. The RSI at 30.6 indicates oversold conditions, while MACD (-13.8) remains negative, suggesting weak momentum. Fundamentals are decent with ROCE at 19.6% and ROE at 14.3%, supported by a very low debt-to-equity ratio (0.02). Valuation is slightly stretched with a P/E of 21.0 compared to industry average (14.4). The optimal entry price would be near support around 345–355 ₹. If already holding, consider exiting near resistance around 395–405 ₹ unless momentum improves.
✅ Positive
- Strong ROCE (19.6%) and ROE (14.3%) highlight efficiency
- Debt-to-equity ratio of 0.02 shows excellent financial stability
- Dividend yield of 1.64% adds shareholder value
- EPS of 16.9 ₹ supports earnings visibility
- FII holdings increased slightly (+0.12%)
⚠️ Limitation
- P/E ratio (21.0) higher than industry average (14.4)
- Weak technical indicators: RSI oversold, MACD negative
- Price trading below both 50 DMA (399 ₹) and 200 DMA (423 ₹)
- Negative PEG ratio (-5.47) reflects growth concerns
📉 Company Negative News
- Quarterly profit decline (PAT down from 281 Cr. to 266 Cr.)
- DII holdings decreased slightly (-0.09%)
📈 Company Positive News
- Quarterly profit variation shows growth of 19.8% year-on-year
- FII holdings increased (+0.12%), reflecting foreign investor confidence
- Dividend yield supports investor returns
🏭 Industry
- Industry P/E at 14.4, lower than Gujarat Gas’ 21.0, suggesting mild overvaluation
- Gas distribution sector benefits from steady demand and infrastructure expansion
🔎 Conclusion
Gujarat Gas is financially stable with strong efficiency ratios and dividend support, but technical weakness and valuation concerns limit swing trade attractiveness. Entry around 345–355 ₹ is optimal, with exit near 395–405 ₹ if resistance holds. Long-term investors may continue holding due to sector resilience, while swing traders should remain cautious until momentum indicators improve.