HBLENGINE - Swing Trade Analysis with AI Signals

Last Updated Time : 19 Sept 25, 2:15 pm

Swing Trade Rating: 4.4

📊 Technical & Momentum Analysis

Strong Uptrend: Price is well above both 50 DMA (₹750) and 200 DMA (₹620), confirming bullish momentum.

MACD High: At 46.1, MACD signals strong upward momentum—ideal for swing setups.

RSI Elevated: 61.5 suggests strength with room to run before overbought territory.

Volume Surge: Current volume (16.9L) is above 1-week average (14.3L), indicating strong participation.

📈 Fundamental Snapshot

Valuation Premium: P/E of 70.8 vs industry average of 33.6 and PEG of 1.45—expensive but growth-adjusted valuation is acceptable.

Excellent Efficiency: ROCE 27.0%, ROE 20.2%—elite capital deployment.

Earnings Growth: PAT jumped from ₹51.8 Cr to ₹142 Cr (+90.4%)—strong earnings momentum.

Low Leverage: Debt-to-equity of 0.04 adds financial resilience.

Institutional Sentiment: No change in FII/DII holdings—neutral stance.

🧠 Analyst Sentiment

Recent technical scans and trend models classify HBLENGINE as a “bullish quality stock with stretched valuation”

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. While expensive, the stock is supported by strong fundamentals and technical momentum. It’s currently trading near its 52-week high, with potential for breakout continuation.

🎯 Trade Strategy

🔹 Optimal Entry Price

₹820–₹835: Ideal pullback zone near 21-DMA. Entry only if MACD remains positive and RSI holds above 55.

🔹 Exit Strategy (If Already Holding)

₹910–₹915: Near 52-week high and resistance zone. Exit if RSI crosses 72 or MACD flattens.

Extended Target: ₹945–₹960 if breakout sustains with volume confirmation.

Trailing Stop: ₹805 to protect gains.

🧠 Summary

HBLENGINE presents a high-conviction swing setup—strong technical momentum, elite ROCE/ROE, and robust earnings growth. While valuation is stretched, the PEG and MACD strength support a short-term trade. Entry on a mild dip offers better risk-reward, and exit near ₹915 or extended targets is prudent unless momentum accelerates.

Want me to prep a filtered basket with PEG < 1.5, ROCE > 20%, and MACD > 10 for tighter swing setups?

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