⚠ 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.

IRCTC - Swing Trade Analysis with AI Signals

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Rating: 4

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

📊 Swing Trade Rating: 4.0

Stock Code IRCTC Market Cap 44,391 Cr. Current Price 555 ₹ High / Low 820 ₹
Stock P/E 32.1 Book Value 53.2 ₹ Dividend Yield 1.53 % ROCE 49.0 %
ROE 37.2 % Face Value 2.00 ₹ DMA 50 559 ₹ DMA 200 644 ₹
Chg in FII Hold -2.33 % Chg in DII Hold 0.84 % PAT Qtr 387 Cr. PAT Prev Qtr 338 Cr.
RSI 54.2 MACD 0.94 Volume 20,19,436 Avg Vol 1Wk 15,50,076
Low price 493 ₹ High price 820 ₹ PEG Ratio 1.31 Debt to equity 0.02
52w Index 19.1 % Qtr Profit Var 13.3 % EPS 17.8 ₹ Industry PE 44.7

Analysis: IRCTC is trading at ₹555, near its 50 DMA (₹559) but below the 200 DMA (₹644), showing consolidation with mild bearish bias. RSI at 54.2 indicates neutral momentum, while MACD at 0.94 suggests a slight positive crossover. Valuation is moderately high with a P/E of 32.1 compared to industry average of 44.7, but fundamentals are strong: ROCE at 49% and ROE at 37.2% are excellent. Debt-to-equity ratio is very low (0.02), showing financial stability. PAT improved (₹387 Cr vs ₹338 Cr), with quarterly profit variation (+13.3%) supporting earnings momentum. Dividend yield at 1.53% adds investor appeal. Swing trade potential is strong, though resistance lies near 200 DMA.

Optimal Entry Price: ₹540–550, near short-term support.

Exit Strategy (if holding): Consider exiting around ₹590–600, aligning with resistance levels before 200 DMA.

✅ Positive

  • Strong ROCE (49%) and ROE (37.2%).
  • Debt-free structure (Debt-to-equity 0.02).
  • PAT growth (+13.3%) supports earnings momentum.

⚠️ Limitation

  • P/E ratio (32.1) higher than industry average valuation comfort.
  • Trading below 200 DMA (₹644), showing overhead resistance.
  • PEG ratio at 1.31 indicates growth is priced fairly high.

📉 Company Negative News

  • FII holdings decreased significantly (-2.33%).
  • Stock still below long-term resistance (200 DMA).

📈 Company Positive News

  • PAT improved (₹387 Cr vs ₹338 Cr).
  • DII holdings increased (+0.84%), showing domestic investor support.

🏭 Industry

  • Industry P/E at 44.7, showing IRCTC trades at a discount.
  • Travel and tourism sector remains cyclical but benefits from rising demand post-recovery.

🔎 Conclusion

IRCTC is a strong candidate for swing trading with excellent fundamentals, debt-free balance sheet, and improving profits. Entry near ₹540–550 may be considered, with exit around ₹590–600. While valuation is reasonable compared to industry, caution is advised due to resistance near 200 DMA and reduced FII participation.

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