IREDA - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.9
| Stock Code | IREDA | Market Cap | 38,040 Cr. | Current Price | 135 ₹ | High / Low | 187 ₹ |
| Stock P/E | 20.2 | Book Value | 46.0 ₹ | Dividend Yield | 0.44 % | ROCE | 9.37 % |
| ROE | 18.0 % | Face Value | 10.0 ₹ | DMA 50 | 127 ₹ | DMA 200 | 139 ₹ |
| Chg in FII Hold | 0.07 % | Chg in DII Hold | -0.07 % | PAT Qtr | 585 Cr. | PAT Prev Qtr | 549 Cr. |
| RSI | 60.6 | MACD | 4.65 | Volume | 63,58,072 | Avg Vol 1Wk | 72,78,788 |
| Low price | 109 ₹ | High price | 187 ₹ | PEG Ratio | 0.52 | Debt to equity | 5.41 |
| 52w Index | 34.3 % | Qtr Profit Var | 37.5 % | EPS | 6.78 ₹ | Industry PE | 19.8 |
Analysis: IREDA is trading at ₹135, above its 50 DMA (₹127) but slightly below the 200 DMA (₹139), showing short-term bullish momentum with mild long-term resistance. RSI at 60.6 indicates the stock is approaching overbought territory, while MACD at 4.65 confirms positive momentum. Valuation is fair with a P/E of 20.2 compared to industry average of 19.8, and EPS of ₹6.78 is reasonable. ROE at 18% is strong, though ROCE at 9.37% is modest. Debt-to-equity ratio at 5.41 is high, reflecting leverage risk. PAT improved (₹585 Cr vs ₹549 Cr), with quarterly profit variation (+37.5%) showing strong earnings growth. Swing trade potential is good, but caution is advised due to high debt and RSI levels.
Optimal Entry Price: ₹130–133, near short-term support.
Exit Strategy (if holding): Consider exiting around ₹142–145, aligning with resistance near 200 DMA.
✅ Positive
- Strong ROE (18%) supports profitability.
- PAT growth (+37.5%) highlights earnings momentum.
- FII holdings increased slightly (+0.07%).
⚠️ Limitation
- High debt-to-equity ratio (5.41).
- ROCE at 9.37% is modest compared to peers.
- RSI at 60.6 suggests nearing overbought zone.
📉 Company Negative News
- DII holdings decreased (-0.07%).
- High leverage raises financial risk.
📈 Company Positive News
- PAT improved (₹585 Cr vs ₹549 Cr).
- Quarterly profit variation strong (+37.5%).
🏭 Industry
- Industry P/E at 19.8, showing IREDA trades fairly valued.
- Renewable energy finance sector is growing with government support.
🔎 Conclusion
IREDA offers good swing trade potential with strong earnings growth and fair valuation. Entry near ₹130–133 may be considered, with exit around ₹142–145. While fundamentals are supportive, caution is needed due to high leverage and RSI nearing overbought levels.