ITCHOTELS - Swing Trade Analysis with AI Signals
Back to ListHere’s a structured swing trade analysis for ITC Hotels (ITCHOTELS) based on the provided parameters
Swing Trade Rating: 3.8
| Stock Code | ITCHOTELS | Market Cap | 33,591 Cr. | Current Price | 161 ₹ | High / Low | 262 ₹ |
| Stock P/E | 38.7 | Book Value | 57.1 ₹ | Dividend Yield | 0.62 % | ROCE | 10.1 % |
| ROE | 7.56 % | Face Value | 1.00 ₹ | DMA 50 | 158 ₹ | DMA 200 | 178 ₹ |
| Chg in FII Hold | -1.52 % | Chg in DII Hold | 0.33 % | PAT Qtr | 280 Cr. | PAT Prev Qtr | 286 Cr. |
| RSI | 60.2 | MACD | 0.20 | Volume | 30,42,808 | Avg Vol 1Wk | 33,25,840 |
| Low price | 137 ₹ | High price | 262 ₹ | Debt to equity | 0.01 | 52w Index | 19.2 % |
| Qtr Profit Var | 6.21 % | EPS | 3.98 ₹ | Industry PE | 30.8 |
📊 ITC Hotels shows moderate potential for swing trading. The stock is trading slightly above its 50 DMA (158 ₹) but below its 200 DMA (178 ₹), indicating short-term strength but medium-term resistance. RSI at 60.2 suggests healthy momentum, while MACD (0.20) is flat, showing limited trend strength. Fundamentals are decent with ROCE (10.1%) and ROE (7.56%), but valuation is stretched (P/E 38.7 vs industry 30.8). Low debt-to-equity (0.01) is a strong positive.
💡 Optimal Entry Price: Around 155–160 ₹ (near support zone).
📈 Exit Strategy (if already holding): Consider booking profits near 175–180 ₹ (resistance zone close to 200 DMA) or trail stop-loss if momentum strengthens.
Positive
- ✅ Trading above 50 DMA, showing short-term strength.
- ✅ Low debt-to-equity ratio (0.01), indicating financial stability.
- ✅ Dividend yield of 0.62% adds investor confidence.
- ✅ EPS at 3.98 ₹ supports earnings visibility.
- ✅ PAT stable (₹280 Cr. vs ₹286 Cr.).
Limitation
- ⚠️ P/E ratio (38.7) higher than industry average (30.8).
- ⚠️ ROE (7.56%) and ROCE (10.1%) are modest compared to peers.
- ⚠️ MACD flat (0.20), showing lack of strong bullish trend.
- ⚠️ Volume lower than 1-week average, suggesting reduced participation.
Company Negative News
- ❌ Decline in FII holding (-1.52%).
Company Positive News
- ✅ Increase in DII holding (+0.33%).
- ✅ Stable quarterly PAT figures (~₹280 Cr.).
Industry
- 🏨 Industry P/E at 30.8, lower than ITC Hotels’ 38.7, suggesting slight overvaluation.
- 📈 Hospitality sector benefits from rising travel demand but remains cyclical.
Conclusion
🔎 ITC Hotels is a moderately attractive swing trade candidate. Entry near ₹155–160 offers a safer margin, with exit around ₹175–180. Strong financial stability and dividend support the stock, but stretched valuation and weak momentum limit upside. Risk management is essential.
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