LTFOODS - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.7
| Stock Code | LTFOODS | Market Cap | 14,378 Cr. | Current Price | 413 ₹ | High / Low | 519 ₹ |
| Stock P/E | 67.7 | Book Value | 52.6 ₹ | Dividend Yield | 0.73 % | ROCE | 15.5 % |
| ROE | 12.0 % | Face Value | 1.00 ₹ | DMA 50 | 381 ₹ | DMA 200 | 401 ₹ |
| Chg in FII Hold | -1.20 % | Chg in DII Hold | 1.29 % | PAT Qtr | 66.2 Cr. | PAT Prev Qtr | 71.2 Cr. |
| RSI | 66.2 | MACD | -2.73 | Volume | 39,57,490 | Avg Vol 1Wk | 9,91,475 |
| Low price | 288 ₹ | High price | 519 ₹ | PEG Ratio | 2.90 | Debt to equity | 0.12 |
| 52w Index | 54.1 % | Qtr Profit Var | 6.28 % | EPS | 6.12 ₹ | Industry PE | 22.6 |
📊 LTFOODS shows moderate potential for swing trading. The RSI at 66.2 indicates the stock is nearing overbought territory, while MACD at -2.73 reflects mild bearish momentum. The PEG ratio of 2.90 suggests expensive growth prospects, and the high P/E of 67.7 compared to industry average (22.6) reinforces stretched valuation. Current price (413 ₹) is above both 50 DMA (381 ₹) and 200 DMA (401 ₹), showing short-term strength but limited upside due to valuation concerns. Fundamentals such as ROCE (15.5%) and ROE (12.0%) are supportive, though EPS (6.12 ₹) is modest.
✅ Optimal Entry Price: 400–410 ₹ (near support zone, offering margin of safety).
🚪 Exit Strategy if Holding: Consider profit booking around 440–460 ₹ (near resistance zone). Trail stop-loss near 390 ₹ to protect downside.
Positive
- 📈 ROCE (15.5%) and ROE (12.0%) highlight decent capital efficiency.
- 💰 Dividend yield of 0.73% adds investor appeal.
- 📊 PAT growth from 71.2 Cr. to 66.2 Cr. shows stability despite slight decline.
- 📊 Strong trading volume (39.5L vs avg 9.9L) indicates active investor participation.
- 🔒 Low debt-to-equity (0.12) ensures financial stability.
Limitation
- ⚠️ Very high P/E (67.7) compared to industry average (22.6) suggests stretched valuation.
- 📉 PEG ratio of 2.90 indicates expensive growth prospects.
- 📉 EPS of 6.12 ₹ is modest relative to valuation.
- 📉 RSI at 66.2 suggests overbought conditions, limiting upside.
Company Negative News
- 📉 Decline in FII holding (-1.20%) signals reduced foreign investor confidence.
- ⚠️ PAT dropped slightly from 71.2 Cr. to 66.2 Cr., showing earnings pressure.
Company Positive News
- 📈 Increase in DII holding (+1.29%) reflects strong domestic institutional support.
- 💹 Quarterly profit variation (+6.28%) supports near-term optimism.
Industry
- 🏭 Industry P/E at 22.6 is much lower than LTFOODS’s 67.7, suggesting sector valuations are more modest.
- 📊 Sector momentum remains strong with 52-week index gain of 54.1%.
Conclusion
🔎 LTFOODS earns a swing trade rating of 3.7. Entry near 400–410 ₹ provides margin of safety, while exit around 440–460 ₹ aligns with resistance levels. Strong volume, institutional support, and low debt back the trade, but high valuation, modest EPS, and declining foreign investor confidence require cautious position sizing and disciplined stop-loss management.