MARUTI - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 4.0

📉 Optimal Entry Price: ₹15,200–₹15,300 (near RSI support and below 50 DMA)

📈 Exit Strategy (if holding): ₹16,500–₹16,650 (near 52-week high and resistance)

🔷 Positive

• 📊 EPS of ₹453: Indicates strong earnings performance.
• 📈 ROCE (21.7%) and ROE (15.6%): Reflect solid capital efficiency.
• 📉 PEG ratio of 0.47: Suggests undervaluation relative to growth.
• 📈 MACD at 49.8: Indicates bullish momentum.
• 📈 FII holding increased by 0.58%: Reflects growing foreign investor confidence.
• 📉 Debt-to-equity ratio of 0.00: Shows strong financial health.

⚠️ Limitation

• 📉 RSI at 33.3: Near oversold zone, suggesting caution before entry.
• 📉 Stock P/E of 33.9: Slightly below industry average (34.4), but still high.
• 📉 Quarterly PAT declined: From ₹3,712 Cr. to ₹3,293 Cr., indicating short-term earnings pressure.
• 📉 DII holding dropped by 0.70%: May reflect cautious domestic sentiment.

📉 Company Negative News

• 📉 Q2FY26 PAT fell 10% QoQ due to higher input costs and lower non-operating income.
• 📉 Analysts flagged margin pressure in entry-level models and EV transition costs.

📈 Company Positive News

• 📈 Maruti reported 20% YoY volume growth in Q2FY26, driven by SUV and hybrid models.
• 📊 Management expects festive demand and new launches to support Q3 performance.
• 📈 Brokerages like Jefferies and Motilal Oswal maintain “Buy” ratings with targets above ₹17,000.

🚗 Industry

• 🏭 Operates in the auto sector, which is benefiting from festive demand, rural recovery, and EV adoption.
• 📈 Industry P/E of 34.4 suggests Maruti is fairly valued with room for upside if growth sustains.

🧾 Conclusion

• ✅ Maruti is a strong swing trade candidate with solid fundamentals and improving technicals.
• 📌 Entry near ₹15,200–₹15,300 offers a favorable setup with support from RSI and MACD.
• 🚪 If already holding, consider exiting near ₹16,500–₹16,650, aligning with resistance and 52-week high.

I can also chart Maruti’s RSI and MACD trends to help you time your entry more precisely.