GUJGASLTD - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 4.0
| Stock Code | GUJGASLTD | Market Cap | 28,517 Cr. | Current Price | 415 ₹ | High / Low | 509 ₹ |
| Stock P/E | 24.6 | Book Value | 126 ₹ | Dividend Yield | 1.40 % | ROCE | 19.6 % |
| ROE | 14.3 % | Face Value | 2.00 ₹ | DMA 50 | 411 ₹ | DMA 200 | 431 ₹ |
| Chg in FII Hold | 0.12 % | Chg in DII Hold | 0.09 % | PAT Qtr | 266 Cr. | PAT Prev Qtr | 281 Cr. |
| RSI | 52.3 | MACD | 1.97 | Volume | 2,37,539 | Avg Vol 1Wk | 4,19,413 |
| Low price | 360 ₹ | High price | 509 ₹ | PEG Ratio | -6.40 | Debt to equity | 0.02 |
| 52w Index | 36.9 % | Qtr Profit Var | 19.8 % | EPS | 16.9 ₹ | Industry PE | 19.0 |
📊 Gujarat Gas (GUJGASLTD) shows solid fundamentals with strong ROCE and ROE, low debt, and a reasonable P/E compared to industry peers. Technical indicators (RSI ~52 neutral, MACD slightly positive, price near 50 DMA but below 200 DMA) suggest consolidation with potential upside. It is a good candidate for swing trading with favorable risk-reward potential.
💡 Optimal Entry Price: Around 405–415 ₹ (near 50 DMA support).
📈 Exit Strategy: If already holding, consider booking profits near 440–450 ₹ resistance, or exit if price falls below 395 ₹.
Positive ✅
- ROCE (19.6%) and ROE (14.3%) indicate strong efficiency.
- P/E of 24.6 is only slightly above industry average (19.0), suggesting fair valuation.
- Debt-to-equity ratio of 0.02 shows negligible leverage risk.
- Dividend yield of 1.40% provides moderate income stability.
- EPS of 16.9 ₹ supports profitability visibility.
- FII (+0.12%) and DII (+0.09%) holdings increased, reflecting institutional confidence.
Limitation ⚠️
- Price trading below 200 DMA (431 ₹), showing weak long-term momentum.
- Quarterly PAT declined from 281 Cr. to 266 Cr., indicating short-term earnings pressure.
- PEG ratio of -6.40 highlights valuation concerns relative to growth.
- Trading volume (2.37 lakh) below 1-week average (4.19 lakh), suggesting weaker participation.
Company Negative News 📉
- No major external negative news reported, but slight decline in quarterly profits is a concern.
Company Positive News 📈
- Strong efficiency metrics (ROCE and ROE).
- Institutional investors increasing stake shows confidence in future performance.
Industry 🌐
- Industry P/E at 19.0 highlights sector trades at fair valuation.
- Gas distribution sector benefits from rising demand for cleaner energy and government support.
Conclusion 📝
GUJGASLTD is a good candidate for swing trading with strong fundamentals, low debt, and institutional support. Entry near 405–415 ₹ offers favorable risk-reward. Exit around 440–450 ₹ or below 395 ₹ if momentum weakens. Suitable for short-term trades, though investors should monitor earnings performance and volume trends closely.