HCLTECH - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.7
| Stock Code | HCLTECH | Market Cap | 3,15,368 Cr. | Current Price | 1,162 ₹ | High / Low | 1,780 ₹ |
| Stock P/E | 25.3 | Book Value | 95.4 ₹ | Dividend Yield | 4.65 % | ROCE | 53.9 % |
| ROE | 41.0 % | Face Value | 2.00 ₹ | DMA 50 | 1,221 ₹ | DMA 200 | 1,412 ₹ |
| Chg in FII Hold | -0.70 % | Chg in DII Hold | 0.58 % | PAT Qtr | 4,833 Cr. | PAT Prev Qtr | 3,682 Cr. |
| RSI | 47.4 | MACD | -19.2 | Volume | 34,47,431 | Avg Vol 1Wk | 39,02,969 |
| Low price | 1,090 ₹ | High price | 1,780 ₹ | PEG Ratio | 7.22 | Debt to equity | 0.04 |
| 52w Index | 10.5 % | Qtr Profit Var | 58.7 % | EPS | 28.1 ₹ | Industry PE | 21.0 |
HCLTECH shows moderate potential for swing trading. The RSI at 47.4 indicates weak momentum, while MACD being negative (-19.2) suggests short-term bearishness. The stock is trading below its 50 DMA (1,221 ₹) and 200 DMA (1,412 ₹), signaling caution. However, strong fundamentals like ROCE (53.9%) and ROE (41.0%) provide long-term support.
💡 Optimal Entry Price: Around 1,120–1,140 ₹, closer to support levels near 1,090 ₹.
📈 Exit Strategy (if already holding): Consider booking profits near 1,250–1,280 ₹ in the short term, or trail stop-loss if momentum strengthens.
🌟 Positive
- Strong ROCE (53.9%) and ROE (41.0%) indicate efficient capital use.
- Healthy Dividend Yield of 4.65% provides income stability.
- Low Debt-to-Equity ratio (0.04) shows financial strength.
- Quarterly PAT growth of 58.7% signals improving profitability.
⚠️ Limitation
- Stock P/E (25.3) is higher than industry average (21.0), suggesting overvaluation.
- PEG ratio of 7.22 indicates expensive growth prospects.
- Negative MACD and RSI below 50 show weak short-term momentum.
- Volume lower than 1-week average indicates reduced trading interest.
📰 Company Negative News
- Decline in FII holdings (-0.70%) reflects reduced foreign investor confidence.
📈 Company Positive News
- Strong quarterly profit jump from 3,682 Cr. to 4,833 Cr.
- DII holdings increased (+0.58%), showing domestic institutional support.
🏭 Industry
- IT sector remains resilient but faces global macroeconomic headwinds.
- Industry PE at 21.0 suggests sector is moderately valued compared to HCLTECH’s higher P/E.
🔎 Conclusion
HCLTECH is fundamentally strong but slightly overvalued compared to peers. For swing trading, entry near 1,120–1,140 ₹ is favorable, with exit around 1,250–1,280 ₹. Short-term momentum is weak, so traders should maintain strict stop-loss discipline.
Would you like me to extend this by benchmarking HCLTECH against peers like Infosys or TCS to highlight relative opportunities?