HEG - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Swing Trade Rating: 2.7

HEG has a technically favorable short-term position but fundamental volatility and overvaluation make it a high-risk swing trade. It's more suited to aggressive traders willing to play short bursts rather than trend-following setups.

🧾 Fundamental Evaluation

P/E: 88.2 vs Industry PE: 41.2 → Very expensive; suggests poor earnings relative to price

EPS: ₹5.96 → Low relative to valuation

PEG Ratio: -2.47 → Negative due to erratic earnings trend

ROCE: 3.96% | ROE: 2.59% → Weak capital efficiency

Debt to Equity: 0.13 → Low leverage is a plus

Dividend Yield: 0.34% → Negligible for medium-term holders

Qtr Profit Var: -324% → Alarming swing into net loss last quarter

💡 Overall: Fundamentals show instability with poor earnings quality, despite a strong equity base.

📊 Technical Overview

Current Price: ₹525

Above DMA 50 & DMA 200 → Short-term bullish tilt

MACD: +6.37 | RSI: 53.8 → Momentum gaining, mid-range zone

Volume: 4.15L vs Avg 5.42L → Slight drop in participation

52W Index: 67.3% → Recovered substantially from year low

Low/High: ₹331–₹620 → Reasonable price action range

💡 Technicals suggest short-term strength, possibly momentum-driven.

🎯 Swing Trade Strategy

High volatility + favorable technicals create a short window for speculative profit. Needs tight controls and nimble execution.

✅ Optimal Entry Price

Buy Range: ₹518–₹528 Entry near MACD breakout zone, if RSI remains above 50.

🚪 Exit Plan

Target Price: ₹555–₹570 Before overhead resistance around ₹580–₹620.

Stop-Loss: ₹505 Below 50-DMA for downside protection.

👜 If Already Holding

→ Take profits near ₹570 → Use a trailing stop-loss above ₹520 if momentum persists → Exit immediately if RSI dips below 48 or MACD flattens

Let me know if you want high-momentum midcaps with more consistent earnings profiles. I’ll help you find more reliable swings that won’t keep you up at night.

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