LALPATHLAB - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Swing Trade Rating: 4.1

📊 Analysis Summary

LALPATHLAB presents a moderately strong swing trade setup, backed by solid fundamentals and improving technical indicators. The recent surge in quarterly profit and positive MACD signal suggest short-term upside potential. However, the high PEG ratio and declining FII interest warrant caution. It’s a good candidate for swing trading if entered near support levels with a clear exit strategy.

🔍 Technical Indicators

RSI (60.0): Bullish — momentum building but not overbought.

MACD (53.4): Positive — confirms upward trend.

Price vs DMA

Current Price (₹3,026) is above both 50 DMA (₹2,896) and 200 DMA (₹2,833) — bullish alignment.

Volume: Below weekly average — suggests breakout not yet confirmed.

📈 Fundamental Snapshot

P/E (51.9) vs Industry PE (51.6): Fairly valued — in line with peers.

PEG Ratio (4.23): High — growth may not justify valuation.

ROE (24.3%) & ROCE (28.9%): Strong — efficient capital use.

EPS (₹58.3) vs Price (₹3,026): Reasonable earnings base.

Qtr Profit Growth (+83.2%): Excellent — strong earnings momentum.

FII Holding ↓ (-2.21%), DII Holding ↑ (+1.83%)**: Mixed institutional sentiment.

Debt to Equity (0.07): Very low — minimal financial risk.

Dividend Yield (0.79%): Decent — adds minor cushion.

✅ Entry Strategy (If Not Holding)

Optimal Entry Price: ₹2,900–₹2,950 range, near 50 DMA.

Look for volume pickup and RSI crossing 65 for confirmation.

Avoid chasing above ₹3,050 without breakout confirmation.

🚪 Exit Strategy (If Already Holding)

Exit near ₹3,600–₹3,650, close to 52-week high resistance.

If price dips below ₹2,850, consider stop-loss at ₹2,800 to limit downside.

⚖️ Final Verdict

LALPATHLAB is a technically bullish and fundamentally sound stock with short-term upside potential. While valuation is slightly stretched, strong profit growth and low debt make it a viable swing trade. Best entered on a minor dip with momentum confirmation, and exited near resistance.

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