INFY - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.8
| Stock Code | INFY | Market Cap | 4,57,298 Cr. | Current Price | 1,128 ₹ | High / Low | 1,728 ₹ |
| Stock P/E | 15.2 | Book Value | 199 ₹ | Dividend Yield | 4.26 % | ROCE | 45.6 % |
| ROE | 35.7 % | Face Value | 5.00 ₹ | DMA 50 | 1,203 ₹ | DMA 200 | 1,380 ₹ |
| Chg in FII Hold | -1.82 % | Chg in DII Hold | 2.11 % | PAT Qtr | 7,975 Cr. | PAT Prev Qtr | 8,202 Cr. |
| RSI | 41.6 | MACD | -16.0 | Volume | 1,79,13,445 | Avg Vol 1Wk | 1,03,47,147 |
| Low price | 1,089 ₹ | High price | 1,728 ₹ | PEG Ratio | 1.73 | Debt to equity | 0.05 |
| 52w Index | 6.03 % | Qtr Profit Var | 20.3 % | EPS | 72.0 ₹ | Industry PE | 21.0 |
Infosys (INFY) shows moderate potential for swing trading. The stock is currently trading at ₹1,128, which is below both its 50 DMA (₹1,203) and 200 DMA (₹1,380), indicating short-term weakness. RSI at 41.6 suggests the stock is approaching oversold territory, while MACD at -16.0 confirms bearish momentum. Strong fundamentals such as ROCE of 45.6%, ROE of 35.7%, and a healthy dividend yield of 4.26% provide medium-term support.
✅ Optimal Entry Price: Around ₹1,090–₹1,110 (near recent low and RSI support)
📈 Exit Strategy (if already holding): Consider exiting near ₹1,200–₹1,240 (50 DMA resistance zone) unless momentum strengthens.
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🌟 Positive
- 📈 Strong [ROCE](ca://s?q=Explain_ROCE) of 45.6% and [ROE](ca://s?q=Explain_ROE) of 35.7% indicate efficient capital use.
- 💰 Attractive [dividend yield](ca://s?q=Dividend_Yield_explained) of 4.26% provides steady income.
- 📊 Low [debt-to-equity](ca://s?q=Debt_to_equity_ratio) ratio of 0.05 shows financial stability.
- 📉 Trading below DMA levels offers potential rebound opportunity.
⚠️ Limitation
- 📉 RSI at 41.6 and negative MACD suggest weak short-term momentum.
- 📊 FII holding decreased by -1.82%, showing reduced foreign investor confidence.
- 📉 PAT declined slightly from ₹8,202 Cr. to ₹7,975 Cr. quarter-on-quarter.
📰 Company Negative News
- 📉 Marginal decline in quarterly profits.
- 📊 Weak technical indicators (below DMA, negative MACD).
📢 Company Positive News
- 💡 Strong fundamentals with high ROCE and ROE.
- 💰 Consistent dividend payout with attractive yield.
- 📈 Domestic institutional investors increased holdings (+2.11%).
🏭 Industry
- 📊 Industry PE is 21.0, while INFY trades at 15.2, making it undervalued relative to peers.
- 🌐 IT sector remains resilient with long-term demand for digital transformation.
✅ Conclusion
Infosys (INFY) is a fundamentally strong company but currently faces short-term technical weakness. For swing traders, an entry near ₹1,090–₹1,110 offers a favorable risk-reward setup, with an exit target around ₹1,200–₹1,240. Long-term investors may continue holding due to strong fundamentals and dividend yield.
Would you like me to also compare INFY’s swing trade setup with another IT stock like TCS or Wipro to evaluate relative opportunities?