⚠ 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: 3.5

Last Updated Time : 05 May 26, 03:38 pm

📊 Swing Trade Rating: 3.5

Stock Code IOC Market Cap 2,00,959 Cr. Current Price 142 ₹ High / Low 189 ₹
Stock P/E 6.15 Book Value 133 ₹ Dividend Yield 4.92 % ROCE 7.26 %
ROE 6.41 % Face Value 10.0 ₹ DMA 50 150 ₹ DMA 200 154 ₹
Chg in FII Hold 1.27 % Chg in DII Hold -0.90 % PAT Qtr 12,126 Cr. PAT Prev Qtr 7,610 Cr.
RSI 42.4 MACD -1.68 Volume 98,07,640 Avg Vol 1Wk 1,37,52,534
Low price 130 ₹ High price 189 ₹ PEG Ratio -0.28 Debt to equity 0.74
52w Index 20.5 % Qtr Profit Var 420 % EPS 23.2 ₹ Industry PE 15.1

IOC shows strong earnings momentum with quarterly PAT rising sharply (12,126 Cr vs 7,610 Cr, +420%). Fundamentals are decent with EPS of 23.2 ₹, ROE (6.41%), and ROCE (7.26%). The dividend yield (4.92%) adds investor appeal. Valuation is attractive with a low P/E (6.15 vs industry 15.1). However, technical indicators show weakness: RSI (42.4) is bearish-neutral, MACD (-1.68) is negative, and the stock trades below both 50 DMA (150 ₹) and 200 DMA (154 ₹). Debt-to-equity (0.74) is moderate but worth monitoring. Overall, IOC is undervalued fundamentally but faces short-term technical pressure.

Optimal Entry Price: Around 135–140 ₹ (near support levels)

📤 Exit Strategy if Holding: Exit near 155–160 ₹ resistance zone, or if price falls below 130 ₹ support.

🌟 Positive

  • Strong quarterly PAT growth (+420%).
  • EPS at 23.2 ₹ supports valuation strength.
  • Dividend yield of 4.92% provides steady income.
  • FII holdings increased (+1.27%), showing foreign investor confidence.

⚠️ Limitation

  • Stock trading below both 50 DMA and 200 DMA, showing short-term weakness.
  • ROE (6.41%) and ROCE (7.26%) are modest compared to peers.
  • 52-week performance index at 20.5% indicates limited upside momentum.

📰 Company Negative News

  • DII holdings decreased (-0.90%), showing reduced domestic institutional support.
  • Stock remains well below 52-week high (189 ₹).

📈 Company Positive News

  • Quarterly profits surged significantly, boosting earnings outlook.
  • Dividend yield nearly 5%, attractive for investors.
  • FII holdings increased, reflecting foreign confidence.

🏭 Industry

  • Industry PE is 15.1, much higher than IOC’s 6.15, suggesting undervaluation.
  • Energy sector demand remains strong, supporting long-term fundamentals.

✅ Conclusion

IOC is a fundamentally undervalued candidate for swing trading with strong profit growth and attractive dividend yield. However, technical weakness limits immediate upside. Entry near 135–140 ₹ offers a good risk-reward setup, with exit around 155–160 ₹. Traders should monitor institutional flows and price action near DMA levels to confirm reversal momentum.

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