KPITTECH - Swing Trade Analysis with AI Signals

Last Updated Time : 19 Sept 25, 2:15 pm

Swing Trade Rating: 4.4

🚗 Swing Trade Analysis: KPITTECH

KPIT Technologies Ltd. presents a compelling swing trade setup with strong technical momentum, excellent profitability, and robust earnings growth, though valuation is stretched.

✅ Strengths

Technical Momentum: Price ₹1,305 is above 50-DMA (₹1,245) and just below 200-DMA (₹1,316), indicating a bullish trend with potential breakout.

MACD (15.0): Strongly positive — confirms upward momentum.

RSI (65.3): Bullish but not yet overbought — room for further upside.

Profitability: ROCE (34.4%) and ROE (27.1%) are outstanding — highly efficient operations.

Earnings Growth: PAT jumped from ₹132 Cr to ₹229 Cr — massive quarterly growth (204%).

Volume: Well above weekly average — strong market interest.

Institutional Sentiment: DII holdings increased (+1.07%) — supportive signal.

Debt-to-Equity: Very low at 0.07 — strong financial health.

⚠️ Weaknesses

Valuation: P/E of 56.3 vs industry average of 30.0 and PEG ratio of 2.13 — indicates overvaluation risk.

FII Sentiment: Declined (-1.68%) — mildly bearish.

52w Index (35.4%): Trading in lower third of yearly range — sentiment still recovering.

🎯 Optimal Entry Price

Buy Zone: ₹1,260–₹1,280

Slight pullback near 50-DMA offers a better risk-reward entry.

🚪 Exit Strategy (If Holding)

Target Exit: ₹1,375–₹1,420

Near short-term resistance; exit if RSI crosses 75 or MACD flattens.

Stop Loss: ₹1,220

Below this level, trend support weakens.

⚖️ Verdict

KPITTECH is a strong swing trade candidate, ideal for momentum-driven traders. Fundamentals support the trend, but valuation demands disciplined entry and exit.

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