MARICO - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.9
| Stock Code | MARICO | Market Cap | 1,01,952 Cr. | Current Price | 785 ₹ | High / Low | 814 ₹ |
| Stock P/E | 52.6 | Book Value | 39.0 ₹ | Dividend Yield | 1.34 % | ROCE | 42.8 % |
| ROE | 36.5 % | Face Value | 1.00 ₹ | DMA 50 | 763 ₹ | DMA 200 | 738 ₹ |
| Chg in FII Hold | 0.06 % | Chg in DII Hold | -0.06 % | PAT Qtr | 441 Cr. | PAT Prev Qtr | 395 Cr. |
| RSI | 59.7 | MACD | 6.87 | Volume | 8,88,134 | Avg Vol 1Wk | 10,59,063 |
| Low price | 680 ₹ | High price | 814 ₹ | PEG Ratio | 5.57 | Debt to equity | 0.04 |
| 52w Index | 78.3 % | Qtr Profit Var | 19.5 % | EPS | 14.9 ₹ | Industry PE | 21.7 |
Analysis: Marico is trading at 785 ₹, close to its 52-week high of 814 ₹, showing strong momentum. RSI at 59.7 and MACD at 6.87 indicate steady bullish strength without being overbought. The stock is above both its 50 DMA (763 ₹) and 200 DMA (738 ₹), confirming an uptrend. Valuation is stretched with a P/E of 52.6 compared to the industry average of 21.7, but fundamentals are strong with ROCE at 42.8% and ROE at 36.5%. Quarterly PAT growth (441 Cr vs 395 Cr) and EPS at 14.9 ₹ reflect earnings improvement. Dividend yield at 1.34% adds investor support, though the PEG ratio of 5.57 suggests poor valuation relative to growth. Institutional activity is mixed, with FII holdings slightly up (+0.06%) and DII holdings slightly down (-0.06%).
Optimal Entry Price: Around 760–770 ₹ (near 50 DMA support zone).
Exit Strategy: If already holding, consider exiting near 810–815 ₹ (recent high resistance zone) or if RSI approaches 70. A stop-loss can be placed around 740 ₹ to manage downside risk.
✅ Positive
- Quarterly PAT growth (441 Cr vs 395 Cr).
- Strong ROCE (42.8%) and ROE (36.5%).
- EPS at 14.9 ₹, reflecting earnings strength.
- Dividend yield at 1.34% provides income support.
- Stock trading above both 50 DMA and 200 DMA, confirming uptrend.
⚠️ Limitation
- High P/E ratio (52.6) compared to industry average.
- PEG ratio at 5.57, suggesting poor valuation relative to growth.
- Volume below weekly average, limiting momentum.
📉 Company Negative News
- DII holdings decreased slightly (-0.06%).
- Stock trading close to 52-week high, risk of profit booking.
📈 Company Positive News
- Quarterly profit growth of 19.5% variation.
- FII holdings increased slightly (+0.06%).
- Dividend yield supports investor sentiment.
🏭 Industry
- Industry P/E at 21.7, much lower than Marico, highlighting overvaluation.
- FMCG sector remains resilient with steady demand and defensive characteristics.
🔎 Conclusion
Marico is a strong momentum stock with solid fundamentals, making it a good candidate for swing trading. Entry near 760–770 ₹ is optimal, with exit around 810–815 ₹. Risk management is essential due to stretched valuations and resistance near the 52-week high.