IGL - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 4.1

🔥 IGL shows strong fundamentals and improving technicals. Entry near ₹210–₹213 is optimal. If already held, consider exiting near ₹225–₹229.

📈 Positive

• ROCE 20.8% and ROE 15.7% — strong capital efficiency
• EPS ₹10.2 and P/E 21.2 — fairly valued vs industry PE of 19.7
• MACD 0.52 and RSI 54.7 — bullish crossover with moderate momentum
• Trading above DMA 50 (₹212) and DMA 200 (₹210) — confirms short-term uptrend
• Debt-to-equity 0.01 — virtually debt-free
• FII and DII holdings increased — rising institutional interest

⚠️ Limitation

• PEG ratio 6.28 — valuation not fully justified by growth
• Qtr Profit Var -11.3% — sequential dip in profitability
• Dividend yield 1.98% — moderate but not high

🚫 Company Negative News

• Stock corrected from 52-week high of ₹229 — limited upside room
• Sequential PAT decline from ₹349 Cr. to ₹356 Cr. — slight contraction

✅ Company Positive News

• Strong demand outlook for CNG and PNG segments
• Positive sentiment around clean energy and urban gas distribution
• Analysts expect breakout above ₹230 on sustained volume

🏭 Industry

• City gas distribution sector benefits from urbanization, clean fuel policies, and infrastructure expansion
• IGL trades slightly above industry PE (19.7) — reflects premium for stability

🧾 Conclusion

• IGL is a technically strengthening and fundamentally sound swing candidate
• Best entry: ₹210–₹213 near DMA support and RSI base
• If already held, exit near ₹225–₹229 — resistance zone and 52-week high
• Watch for RSI >60 and MACD continuation for breakout confirmation

I can also compare IGL with other city gas distributors like MGL or Gujarat Gas to help you spot better swing setups.