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LODHA - Swing Trade Analysis with AI Signals

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Rating: 2.8

Last Updated Time : 20 Mar 26, 12:30 pm

Swing Trade Rating: 2.8

Stock Code LODHA Market Cap 81,745 Cr. Current Price 818 ₹ High / Low 1,534 ₹
Stock P/E 28.5 Book Value 202 ₹ Dividend Yield 0.52 % ROCE 14.6 %
ROE 13.2 % Face Value 10.0 ₹ DMA 50 984 ₹ DMA 200 1,119 ₹
Chg in FII Hold -0.62 % Chg in DII Hold 0.44 % PAT Qtr 1,146 Cr. PAT Prev Qtr 336 Cr.
RSI 23.6 MACD -53.4 Volume 12,54,502 Avg Vol 1Wk 25,25,136
Low price 812 ₹ High price 1,534 ₹ PEG Ratio 0.99 Debt to equity 0.54
52w Index 0.82 % Qtr Profit Var 37.8 % EPS 28.7 ₹ Industry PE 25.5

📊 Lodha (Macrotech Developers) shows weak technicals despite strong profit growth. The RSI at 23.6 indicates oversold conditions, suggesting a possible rebound. However, the MACD (-53.4) reflects strong bearish momentum, and the stock is trading well below both 50 DMA (984 ₹) and 200 DMA (1,119 ₹), showing clear weakness. Fundamentally, the company has decent ROCE (14.6%) and ROE (13.2%), but debt-to-equity of 0.54 and declining FII holdings weigh on sentiment. Overall, this is a risky swing trade candidate with limited upside unless momentum reverses.

💡 Optimal Entry Price: Around 810–830 ₹ (near recent support and oversold zone).

📈 Exit Strategy (if already holding): Consider exiting near 950–980 ₹ (resistance zone close to 50 DMA) unless momentum improves significantly.

✅ Positive

  • Quarterly PAT surged (1,146 Cr. vs 336 Cr.).
  • EPS of 28.7 ₹ reflects earnings strength.
  • ROCE (14.6%) and ROE (13.2%) are decent for the sector.
  • DII holdings increased (+0.44%), showing domestic support.

⚠️ Limitation

  • Stock trading well below 50 DMA and 200 DMA.
  • RSI oversold but MACD strongly bearish.
  • Debt-to-equity ratio of 0.54 indicates moderate leverage.
  • Dividend yield is low (0.52%).

📉 Company Negative News

  • FII holdings decreased (-0.62%), showing reduced foreign investor confidence.
  • Stock has dropped sharply from 52-week high (1,534 ₹ to 818 ₹).

📈 Company Positive News

  • Strong quarterly profit growth (37.8% variation).
  • DII support increased, balancing foreign outflows.
  • PEG ratio of 0.99 suggests fair valuation relative to growth.

🏭 Industry

  • Industry PE is 25.5, close to Lodha’s 28.5, suggesting valuations are aligned with peers.
  • Real estate sector is cyclical and sensitive to interest rates and demand recovery.

🔎 Conclusion

Lodha is a weak swing trade candidate due to bearish technicals and declining foreign investor confidence. Entry near 810–830 ₹ offers limited risk, but upside is capped around 950–980 ₹ unless momentum improves. Strong profit growth supports fundamentals, but technical weakness makes this suitable only for cautious short-term trades.

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