⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.

LICI - Swing Trade Analysis

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

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Swing Trade Rating: 4.1

🏦 Life Insurance Corporation of India (LICI) Swing Trade Analysis

LICI is a fundamentally strong stock with exceptional profitability and valuation metrics. However, its technical indicators are currently weak, suggesting caution for immediate swing entry. The stock is in a corrective phase, but nearing a strong support zone that could offer a favorable bounce.

✅ Strengths

Fundamentals

ROE: 46.0% and ROCE: 53.5% — outstanding profitability

EPS: ₹76.4 — strong earnings base

PAT Qtr: ₹19,039 Cr vs ₹11,009 Cr — robust quarterly growth

Debt-to-Equity: 0.00 — zero leverage

P/E: 11.8 vs Industry PE of 73.9 — deeply undervalued

PEG Ratio: 0.09 — excellent growth-adjusted valuation

Dividend Yield: 1.33% — decent income support

Institutional Sentiment

FII and DII holdings slightly up — mild accumulation

⚠️ Weaknesses

Technical Indicators

RSI: 39.2 — weak momentum, approaching oversold

MACD: -8.69 — bearish crossover

Price below 50 DMA (₹913) and hovering near 200 DMA (₹888) — trend indecisive

Volume: 5.5L vs Avg 8.3L — below average liquidity

52w Index: 36.3% — underperformance vs peers

Resistance Zone: ₹913–₹950 — strong supply area

🎯 Optimal Entry Price

Entry Zone: ₹880–₹895

Near 200 DMA and strong demand zone

Confirm entry with RSI > 45 and MACD flattening

Avoid entry above ₹913 unless breakout is confirmed with volume surge

🚪 Exit Strategy (If Already Holding)

Short-Term Target: ₹950–₹975

Based on resistance levels and Fibonacci retracement

Stop Loss: ₹860

Below 200 DMA and recent support zone

📌 Summary

LICI is a value-rich stock with strong fundamentals, but technicals suggest caution. It’s best suited for swing trading only after a confirmed bounce from ₹880–₹895. If already holding, consider exiting near ₹975 or trail stop loss to ₹860.

For chart setups and live indicators, check LICI on TradingView

or explore multi-timeframe analysis on JustTicks

in.tradingview.com

justticks.in

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