LTFOODS - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.5
| Stock Code | LTFOODS | Market Cap | 13,310 Cr. | Current Price | 383 ₹ | High / Low | 519 ₹ |
| Stock P/E | 62.6 | Book Value | 52.6 ₹ | Dividend Yield | 0.78 % | ROCE | 15.5 % |
| ROE | 12.0 % | Face Value | 1.00 ₹ | DMA 50 | 394 ₹ | DMA 200 | 402 ₹ |
| Chg in FII Hold | -1.20 % | Chg in DII Hold | 1.29 % | PAT Qtr | 66.2 Cr. | PAT Prev Qtr | 71.2 Cr. |
| RSI | 46.1 | MACD | -3.42 | Volume | 4,69,968 | Avg Vol 1Wk | 16,32,477 |
| Low price | 288 ₹ | High price | 519 ₹ | PEG Ratio | 2.68 | Debt to equity | 0.12 |
| 52w Index | 41.2 % | Qtr Profit Var | 6.28 % | EPS | 6.12 ₹ | Industry PE | 24.9 |
📊 LTFOODS shows moderate potential for swing trading. The RSI at 46.1 indicates neutral momentum, while MACD (-3.42) reflects mild bearish sentiment. The current price (383 ₹) is below both the 50 DMA (394 ₹) and 200 DMA (402 ₹), suggesting weakness. Fundamentals such as ROCE (15.5%) and ROE (12.0%) are decent, but valuation appears stretched with a high P/E (62.6) compared to industry P/E (24.9). The PEG ratio of 2.68 suggests expensive growth-adjusted valuation, though debt-to-equity (0.12) remains low and supportive.
✅ Optimal Entry Price: Around 370–385 ₹ (near current support zone and above 52-week low of 288 ₹).
📈 Exit Strategy (if already holding): Consider exiting near 395–405 ₹ (close to 200 DMA resistance) unless momentum strengthens further.
Positive
- ROCE (15.5%) and ROE (12.0%) show reasonable efficiency.
- Low debt-to-equity ratio (0.12) provides financial stability.
- Dividend yield of 0.78% offers modest income support.
- DII holding increased (+1.29%), reflecting strong domestic institutional support.
Limitation
- Stock trading below both 50 DMA and 200 DMA reflects bearish sentiment.
- High P/E (62.6) compared to industry P/E (24.9) suggests overvaluation.
- PEG ratio of 2.68 indicates stretched growth-adjusted valuation.
- Volume (4.69 lakh) is lower than 1-week average (16.32 lakh), showing weak participation.
Company Negative News
- FII holding decreased (-1.20%), showing reduced foreign investor confidence.
- Quarterly PAT declined from 71.2 Cr. to 66.2 Cr., reflecting earnings pressure.
Company Positive News
- DII holding increased (+1.29%), reflecting strong domestic institutional support.
- Quarterly profit variation of 6.28% highlights modest earnings growth year-on-year.
Industry
- Industry P/E (24.9) is much lower than company P/E (62.6), suggesting LTFOODS trades at a steep premium.
- Sector outlook remains positive, supported by demand in FMCG and packaged food exports.
Conclusion
⚖️ LTFOODS is a cautious swing trade candidate. While fundamentals are stable and institutional support is strong, technical indicators show weakness and valuations are stretched. Entry near 370–385 ₹ may offer a short-term rebound, but strict stop-losses around 360 ₹ are essential. Exit near 395–405 ₹ is advisable unless momentum improves significantly.