IREDA - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.8
| Stock Code | IREDA | Market Cap | 37,026 Cr. | Current Price | 132 ₹ | High / Low | 196 ₹ |
| Stock P/E | 19.7 | Book Value | 46.0 ₹ | Dividend Yield | 0.00 % | ROCE | 9.37 % |
| ROE | 18.0 % | Face Value | 10.0 ₹ | DMA 50 | 137 ₹ | DMA 200 | 151 ₹ |
| Chg in FII Hold | 0.15 % | Chg in DII Hold | -0.06 % | PAT Qtr | 585 Cr. | PAT Prev Qtr | 549 Cr. |
| RSI | 46.5 | MACD | -2.45 | Volume | 74,89,311 | Avg Vol 1Wk | 95,34,446 |
| Low price | 124 ₹ | High price | 196 ₹ | PEG Ratio | 0.51 | Debt to equity | 5.41 |
| 52w Index | 10.6 % | Qtr Profit Var | 37.5 % | EPS | 6.78 ₹ | Industry PE | 19.7 |
📊 IREDA shows moderate potential for swing trading. The stock is priced at ₹132, below both its 50 DMA (₹137) and 200 DMA (₹151), indicating short-term weakness. Technical indicators (RSI 46.5, MACD negative) suggest consolidation with mild bearishness. Fundamentals are mixed: strong ROE (18.0%), steady profit growth, and attractive PEG ratio (0.51) support optimism, but high debt-to-equity (5.41) and weak ROCE (9.37%) limit attractiveness.
💡 Optimal Entry Price: Around ₹128–130 (near support zone).
📈 Exit Strategy: If already holding, consider exiting near ₹145–150 resistance levels, or maintain a stop-loss around ₹124.
✅ Positive
- Quarterly PAT improved from ₹549 Cr. to ₹585 Cr. (+37.5%).
- EPS of ₹6.78 reflects consistent profitability.
- ROE of 18.0% indicates strong shareholder returns.
- PEG ratio of 0.51 suggests undervaluation relative to growth.
- FII holdings increased (+0.15%), showing foreign investor confidence.
⚠️ Limitation
- Stock trading below both 50 DMA and 200 DMA signals weakness.
- ROCE at 9.37% is modest, showing limited efficiency.
- Debt-to-equity ratio of 5.41 indicates high leverage risk.
- Dividend yield is 0%, offering no income support.
- Volume (74.9 lakh) is below weekly average, showing reduced participation.
📉 Company Negative News
- DII holdings decreased (-0.06%), reflecting reduced domestic institutional support.
- MACD at -2.45 shows bearish crossover momentum.
- Stock trading far below 52-week high (₹196), limiting bullish sentiment.
📈 Company Positive News
- Quarterly profit growth (+37.5%) boosts investor confidence.
- FII inflows (+0.15%) reflect foreign investor support.
- Low PEG ratio highlights growth potential at reasonable valuation.
🏦 Industry
- Industry P/E at 19.7 is in line with IREDA’s 19.7, suggesting fair valuation.
- Renewable energy financing sector benefits from government initiatives and rising demand for clean energy projects.
🔎 Conclusion
IREDA earns a swing trade rating of 3.8. Entry near ₹128–130 offers a safer risk-reward setup, while profit booking should be considered near ₹145–150. Traders should remain cautious due to high debt and weak technicals, but strong profit growth, ROE, and favorable PEG ratio provide medium-term opportunities.