ITC - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.9
| Stock Code | ITC | Market Cap | 3,93,168 Cr. | Current Price | 314 ₹ | High / Low | 456 ₹ |
| Stock P/E | 19.5 | Book Value | 54.7 ₹ | Dividend Yield | 4.57 % | ROCE | 36.9 % |
| ROE | 27.9 % | Face Value | 1.00 ₹ | DMA 50 | 357 ₹ | DMA 200 | 395 ₹ |
| Chg in FII Hold | -1.28 % | Chg in DII Hold | 1.49 % | PAT Qtr | 5,297 Cr. | PAT Prev Qtr | 5,113 Cr. |
| RSI | 26.7 | MACD | -15.6 | Volume | 1,21,08,742 | Avg Vol 1Wk | 3,05,93,182 |
| Low price | 302 ₹ | High price | 456 ₹ | PEG Ratio | 2.11 | Debt to equity | 0.00 |
| 52w Index | 7.70 % | Qtr Profit Var | 5.59 % | EPS | 27.8 ₹ | Industry PE | 46.9 |
📊 ITC shows moderate potential for swing trading. The stock is priced at ₹314, well below its 50 DMA (₹357) and 200 DMA (₹395), indicating short-term weakness. Technical indicators (RSI 26.7, MACD negative) suggest oversold conditions and bearish momentum. Strong fundamentals like zero debt, high ROCE (36.9%), and ROE (27.9%) provide stability, while attractive dividend yield supports investor interest. However, heavy FII outflows and weak technicals limit immediate upside.
💡 Optimal Entry Price: Around ₹305–310 (near support zone).
📈 Exit Strategy: If already holding, consider exiting near ₹350–360 resistance levels, or maintain a stop-loss around ₹300.
✅ Positive
- Debt-to-equity ratio of 0.00 shows zero leverage risk.
- ROCE of 36.9% and ROE of 27.9% highlight strong efficiency.
- Dividend yield of 4.57% provides attractive income support.
- Quarterly PAT improved from ₹5,113 Cr. to ₹5,297 Cr. (+5.59%).
- EPS of ₹27.8 reflects strong profitability.
⚠️ Limitation
- Stock trading below both 50 DMA and 200 DMA signals weakness.
- RSI at 26.7 indicates oversold conditions, but also bearish sentiment.
- MACD at -15.6 shows strong bearish crossover momentum.
- PEG ratio of 2.11 suggests expensive growth valuation.
📉 Company Negative News
- FII holdings decreased (-1.28%), reflecting reduced foreign investor confidence.
- Trading volume (1.21 Cr.) is below weekly average, showing reduced participation.
- Stock trading far below 52-week high (₹456), limiting bullish sentiment.
📈 Company Positive News
- DII holdings increased (+1.49%), showing strong domestic institutional support.
- Quarterly profit growth (+5.59%) supports near-term optimism.
- Strong fundamentals with zero debt and high efficiency ratios.
🏦 Industry
- Industry P/E at 46.9 is much higher than ITC’s 19.5, suggesting relative undervaluation.
- FMCG and diversified sector benefits from stable demand and defensive positioning.
🔎 Conclusion
ITC earns a swing trade rating of 3.9. Entry near ₹305–310 offers a safer risk-reward setup, while profit booking should be considered near ₹350–360. Traders should remain cautious due to weak technicals and FII outflows, but strong fundamentals, zero debt, and attractive dividend yield provide medium-term support.