LTTS - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.7
| Stock Code | LTTS | Market Cap | 35,192 Cr. | Current Price | 3,314 ₹ | High / Low | 4,752 ₹ |
| Stock P/E | 28.3 | Book Value | 545 ₹ | Dividend Yield | 1.66 % | ROCE | 27.9 % |
| ROE | 21.7 % | Face Value | 2.00 ₹ | DMA 50 | 3,609 ₹ | DMA 200 | 4,104 ₹ |
| Chg in FII Hold | -0.45 % | Chg in DII Hold | 0.44 % | PAT Qtr | 314 Cr. | PAT Prev Qtr | 307 Cr. |
| RSI | 45.0 | MACD | -101 | Volume | 1,38,097 | Avg Vol 1Wk | 10,24,234 |
| Low price | 3,010 ₹ | High price | 4,752 ₹ | PEG Ratio | 3.06 | Debt to equity | 0.10 |
| 52w Index | 17.4 % | Qtr Profit Var | 4.54 % | EPS | 115 ₹ | Industry PE | 21.9 |
📊 LTTS shows moderate potential for swing trading. The RSI at 45.0 indicates neutral momentum, while MACD (-101) reflects strong bearish sentiment. The current price (3,314 ₹) is below both the 50 DMA (3,609 ₹) and 200 DMA (4,104 ₹), confirming weakness. Fundamentals such as ROCE (27.9%), ROE (21.7%), and low debt-to-equity (0.10) are strong, though valuation appears stretched with a P/E (28.3) compared to industry P/E (21.9). The PEG ratio of 3.06 suggests expensive growth-adjusted valuation.
✅ Optimal Entry Price: Around 3,250–3,300 ₹ (near current support zone and above 52-week low of 3,010 ₹).
📈 Exit Strategy (if already holding): Consider exiting near 3,600–3,650 ₹ (close to 50 DMA resistance) unless momentum strengthens further.
Positive
- Strong ROCE (27.9%) and ROE (21.7%) indicate efficient capital utilization.
- Low debt-to-equity ratio (0.10) provides financial stability.
- EPS of 115 ₹ supports valuation relative to price.
- Dividend yield of 1.66% offers income support.
Limitation
- Stock trading below both 50 DMA and 200 DMA reflects bearish sentiment.
- High P/E (28.3) compared to industry P/E (21.9) suggests overvaluation.
- PEG ratio of 3.06 indicates stretched growth-adjusted valuation.
- Volume (1.38 lakh) is much lower than 1-week average (10.24 lakh), showing weak participation.
Company Negative News
- FII holding decreased (-0.45%), showing reduced foreign investor confidence.
- Quarterly PAT growth was limited (307 Cr. to 314 Cr.), reflecting slow earnings momentum.
Company Positive News
- DII holding increased (+0.44%), reflecting domestic institutional support.
- Quarterly profit variation of 4.54% highlights steady earnings growth.
Industry
- Industry P/E (21.9) is lower than company P/E (28.3), suggesting LTTS trades at a premium.
- Sector outlook remains positive, supported by demand in engineering services and technology solutions.
Conclusion
⚖️ LTTS is a fair candidate for swing trading with strong fundamentals but weak technicals and stretched valuations. Entry near 3,250–3,300 ₹ offers potential upside, while a short-term rebound toward 3,600–3,650 ₹ is possible. Traders should maintain strict stop-losses around 3,200 ₹ to manage risk.