⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.

NESTLEIND - Swing Trade Analysis with AI Signals

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Rating: 4.2

Last Updated Time : 04 Feb 26, 02:09 am

Swing Trade Rating: 4.2

Stock Code NESTLEIND Market Cap 2,52,580 Cr. Current Price 1,309 ₹ High / Low 1,340 ₹
Stock P/E 79.4 Book Value 23.7 ₹ Dividend Yield 1.03 % ROCE 95.7 %
ROE 83.0 % Face Value 1.00 ₹ DMA 50 1,281 ₹ DMA 200 1,229 ₹
Chg in FII Hold -0.01 % Chg in DII Hold 0.35 % PAT Qtr 881 Cr. PAT Prev Qtr 753 Cr.
RSI 53.4 MACD 6.92 Volume 12,66,871 Avg Vol 1Wk 19,05,539
Low price 1,055 ₹ High price 1,340 ₹ PEG Ratio 7.52 Debt to equity 0.10
52w Index 89.0 % Qtr Profit Var 26.6 % EPS 17.2 ₹ Industry PE 55.0

📊 NESTLEIND shows strong potential for swing trading. The stock is currently at 1,309 ₹, trading above both its 50 DMA (1,281 ₹) and 200 DMA (1,229 ₹), confirming bullish momentum. RSI at 53.4 suggests balanced strength, while MACD at 6.92 indicates continued positive sentiment. Fundamentals are excellent with ROCE at 95.7% and ROE at 83.0%, reflecting superior efficiency. EPS at 17.2 ₹ and quarterly PAT growth (753 Cr. → 881 Cr.) provide earnings support. However, valuation is stretched (P/E 79.4 vs industry 55.0, PEG 7.52), and dividend yield at 1.03% is modest.

✅ Optimal Entry Price: 1,290–1,310 ₹ (near short-term support)

🚪 Exit Strategy (if already holding): Consider profit booking around 1,335–1,340 ₹ (near resistance zone), or exit if price falls below 1,270 ₹ with strong volume.

Positive

  • 💡 Exceptional ROCE (95.7%) and ROE (83.0%) highlight superior efficiency.
  • 📊 EPS of 17.2 ₹ reflects strong earnings power.
  • 📈 Quarterly PAT growth of 26.6% (753 Cr. → 881 Cr.).
  • 📦 DII holding increased by 0.35%, showing domestic investor confidence.
  • 📈 Stock trading above both 50 DMA and 200 DMA, confirming bullish trend.

Limitation

  • ⚠️ High P/E of 79.4 vs industry average of 55.0.
  • 📉 PEG ratio of 7.52 indicates expensive growth valuation.
  • 🔻 Dividend yield of only 1.03% offers limited income support.
  • 📉 Volume below weekly average, showing reduced participation.

Company Negative News

  • 📉 FII holding decreased slightly by -0.01%.
  • 🚫 Valuation stretched compared to peers.

Company Positive News

  • 📊 PAT improved significantly (753 Cr. → 881 Cr.).
  • 📈 DII inflows (+0.35%) reflect domestic confidence.
  • 📈 Stock trading near 52-week high (89% of range).

Industry

  • 🏭 Industry P/E at 55.0 indicates sector is moderately expensive.
  • 📦 FMCG sector benefits from consistent demand and strong brand positioning.

Conclusion

⚖️ NESTLEIND is a fundamentally strong company with superior efficiency and steady earnings growth, making it a good candidate for swing trading. Entry near 1,290–1,310 ₹ offers a favorable risk-reward setup, with exit targets around 1,335–1,340 ₹. Caution advised due to stretched valuations and modest dividend yield.

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