⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.

IOC - Swing Trade Analysis with AI Signals

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Rating: 3.2

Last Updated Time : 20 Mar 26, 12:29 pm

Swing Trade Rating: 3.2

Stock Code IOC Market Cap 2,01,240 Cr. Current Price 143 ₹ High / Low 189 ₹
Stock P/E 6.16 Book Value 133 ₹ Dividend Yield 4.90 % ROCE 7.26 %
ROE 6.41 % Face Value 10.0 ₹ DMA 50 165 ₹ DMA 200 158 ₹
Chg in FII Hold 0.88 % Chg in DII Hold -0.42 % PAT Qtr 12,126 Cr. PAT Prev Qtr 7,610 Cr.
RSI 25.0 MACD -6.72 Volume 2,16,28,449 Avg Vol 1Wk 2,27,72,742
Low price 120 ₹ High price 189 ₹ PEG Ratio -0.28 Debt to equity 0.74
52w Index 32.9 % Qtr Profit Var 420 % EPS 23.2 ₹ Industry PE 13.1

📊 IOC shows moderate potential for swing trading. The RSI at 25.0 indicates oversold conditions, while the MACD (-6.72) confirms bearish sentiment. The price is trading well below both the 50 DMA (165 ₹) and 200 DMA (158 ₹), reflecting short-term weakness. Fundamentally, the company is strong with low P/E (6.16 vs industry 13.1), decent EPS (23.2 ₹), and a high dividend yield (4.90%). Quarterly profits surged (PAT up from 7,610 Cr. to 12,126 Cr.), showing strong earnings momentum. However, weak ROCE (7.26%) and ROE (6.41%) limit efficiency, and institutional flows are mixed with FII inflows (+0.88%) but DII outflows (-0.42%).

💡 Optimal Entry Price: Around 140–145 ₹, near current levels, with confirmation of reversal signals.

🚪 Exit Strategy (if already holding): Consider exiting near 160–165 ₹ if a rebound occurs, or cut losses if the price falls below 135 ₹ with strong volume.

Positive

  • Low P/E (6.16) compared to industry average (13.1).
  • Strong quarterly profit growth (PAT up 420%).
  • Dividend yield of 4.90% provides consistent income support.
  • EPS at 23.2 ₹ supports earnings strength.

Limitation

  • Price trading below 50 DMA and 200 DMA confirms bearish trend.
  • Weak ROCE (7.26%) and ROE (6.41%) compared to peers.
  • PEG ratio (-0.28) indicates growth concerns.
  • 52-week index gain is modest (32.9%).

Company Negative News

  • DII holdings decreased (-0.42%), showing reduced domestic confidence.
  • Weak technical indicators (RSI, MACD) suggest continued selling pressure.

Company Positive News

  • Quarterly profit surged from 7,610 Cr. to 12,126 Cr.
  • FII inflows (+0.88%) show foreign investor confidence.
  • Strong dividend yield attracts long-term investors.

Industry

  • Industry P/E at 13.1 is higher than IOC’s 6.16, suggesting IOC is undervalued relative to peers.
  • Oil and energy sector remains cyclical, influenced by global crude prices and government policies.

Conclusion

✅ IOC is a moderately good candidate for swing trading, supported by strong earnings growth, undervaluation relative to peers, and high dividend yield. However, weak technicals and modest efficiency limit short-term upside. Traders may enter around 140–145 ₹ with momentum confirmation and target exits near 160–165 ₹. If already holding, monitor closely and protect downside below 135 ₹.

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