ITI - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.8
| Stock Code | ITI | Market Cap | 27,980 Cr. | Current Price | 291 ₹ | High / Low | 373 ₹ |
| Book Value | 15.1 ₹ | Dividend Yield | 0.00 % | ROCE | -1.33 % | ROE | -16.2 % |
| Face Value | 10.0 ₹ | DMA 50 | 300 ₹ | DMA 200 | 305 ₹ | Chg in FII Hold | 0.00 % |
| Chg in DII Hold | 0.00 % | PAT Qtr | -52.5 Cr. | PAT Prev Qtr | -59.7 Cr. | RSI | 46.0 |
| MACD | -5.07 | Volume | 3,16,049 | Avg Vol 1Wk | 5,08,908 | Low price | 233 ₹ |
| High price | 373 ₹ | Debt to equity | 0.90 | 52w Index | 41.2 % | Qtr Profit Var | 24.1 % |
| EPS | -1.97 ₹ | Industry PE | 42.5 |
📊 ITI shows weak potential for swing trading at the current level. The stock is priced at ₹291, below both its 50 DMA (₹300) and 200 DMA (₹305), indicating short-term weakness. Technical indicators (RSI 46.0, MACD negative) suggest consolidation with bearish bias. Fundamentals are poor, with negative ROCE (-1.33%), negative ROE (-16.2%), and consistent losses. While quarterly losses narrowed slightly, high debt and weak efficiency limit attractiveness.
💡 Optimal Entry Price: Around ₹270–275 (near support zone).
📈 Exit Strategy: If already holding, consider exiting near ₹310–315 resistance levels, or maintain a stop-loss around ₹265.
✅ Positive
- Quarterly losses narrowed from -₹59.7 Cr. to -₹52.5 Cr., showing slight improvement.
- Stock trading above 52-week low (₹233), offering some recovery potential.
- Debt-to-equity ratio of 0.90 is moderate compared to peers in capital-intensive industries.
⚠️ Limitation
- Negative ROCE (-1.33%) and ROE (-16.2%) highlight poor efficiency.
- EPS of -₹1.97 reflects continued losses.
- Dividend yield is 0%, offering no income support.
- Stock trading below both 50 DMA and 200 DMA signals weakness.
📉 Company Negative News
- Consistent quarterly losses weigh on investor sentiment.
- MACD at -5.07 shows bearish crossover momentum.
- Trading volume (3.16 lakh) is below weekly average, indicating reduced participation.
📈 Company Positive News
- Quarterly loss reduction (+24.1% improvement) suggests marginal recovery.
- Stable institutional holdings (no change in FII/DII) indicate neutral sentiment.
🏦 Industry
- Industry P/E at 42.5 highlights growth potential in telecom and technology, but ITI’s lack of profitability makes comparison unfavorable.
- Sector benefits from government initiatives in telecom and digital infrastructure, but competition is intense.
🔎 Conclusion
ITI earns a swing trade rating of 2.8. Entry near ₹270–275 offers a safer risk-reward setup, while profit booking should be considered near ₹310–315. Traders should remain cautious due to weak fundamentals, negative returns, and bearish technicals, though marginal improvement in quarterly losses provides limited short-term opportunity.