ITI - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.4
| Stock Code | ITI | Market Cap | 26,349 Cr. | Current Price | 275 ₹ | High / Low | 373 ₹ |
| Book Value | 15.1 ₹ | Dividend Yield | 0.00 % | ROCE | -1.33 % | ROE | -16.2 % |
| Face Value | 10.0 ₹ | DMA 50 | 279 ₹ | DMA 200 | 296 ₹ | Chg in FII Hold | 0.00 % |
| Chg in DII Hold | 0.00 % | PAT Qtr | -21.0 Cr. | PAT Prev Qtr | -52.5 Cr. | RSI | 52.0 |
| MACD | -4.72 | Volume | 3,23,62,437 | Avg Vol 1Wk | 3,54,90,762 | Low price | 233 ₹ |
| High price | 373 ₹ | Debt to equity | 0.90 | 52w Index | 29.7 % | Qtr Profit Var | 68.7 % |
| EPS | -1.54 ₹ | Industry PE | 48.3 |
📊 ITI stock currently shows weak fundamentals and limited technical strength for swing trading. The RSI at 52.0 indicates neutral momentum, while the MACD (-4.72) suggests mild bearishness. The price is hovering around the 50 DMA (279 ₹) and below the 200 DMA (296 ₹), reflecting sideways to downward movement. Fundamentally, the company is struggling with negative ROCE (-1.33%) and ROE (-16.2%), along with consistent losses (PAT at -21 Cr. vs -52.5 Cr. previously). EPS is negative (-1.54 ₹), and book value (15.1 ₹) is far below the current price (275 ₹), showing overvaluation. Debt-to-equity is moderate at 0.90, but profitability remains a concern.
💡 Optimal Entry Price: Around 260–270 ₹, only if reversal signals appear with strong volume support.
🚪 Exit Strategy (if already holding): Consider exiting near 290–300 ₹ if a rebound occurs, or cut losses if the price falls below 255 ₹ with strong volume.
Positive
- Quarterly losses reduced (PAT improved from -52.5 Cr. to -21 Cr.).
- Debt-to-equity ratio at 0.90 is manageable.
- 52-week performance shows 29.7% gain, reflecting investor interest.
Limitation
- Negative ROCE (-1.33%) and ROE (-16.2%) highlight poor efficiency.
- EPS is negative (-1.54 ₹), showing weak earnings.
- Book value (15.1 ₹) far below current price (275 ₹), indicating stretched valuation.
- No dividend yield (0.00%), limiting investor returns.
Company Negative News
- Consistent losses despite slight improvement in quarterly results.
- Weak fundamentals with negative profitability ratios.
- Price trading below 200 DMA confirms bearish sentiment.
Company Positive News
- Quarterly losses narrowed significantly (68.7% improvement).
- Stable institutional holdings (no major FII/DII changes).
- Strong trading volumes indicate liquidity.
Industry
- Industry P/E at 48.3 is much higher, but ITI has no meaningful P/E due to losses.
- Telecom and technology sector remains volatile, influenced by government contracts and competition.
Conclusion
⚠️ ITI is currently not an ideal candidate for swing trading due to weak fundamentals, negative profitability, and overvaluation relative to book value. While reduced losses and liquidity are positives, the bearish trend and lack of earnings make it risky. Traders should only enter near 260–270 ₹ with clear reversal signals. If already holding, exit on rebounds near 290–300 ₹ and protect downside below 255 ₹.