PAYTM - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Swing Trade Rating: 4.1

📈 Technical & Momentum Analysis

Price Positioning: Current price ₹1,073 is well above both 50 DMA (₹950) and 200 DMA (₹835) — confirms strong bullish trend.

RSI (67.2) — approaching overbought zone, but still within swingable range.

MACD (46.0) — strongly positive, supports continued momentum.

Volume: Significantly below 1-week average — suggests cooling interest, potential consolidation.

📊 Fundamental Overview

Valuation

No P/E or PEG Ratio — due to inconsistent profitability history.

EPS (₹4.77) — modest, but positive after prior losses.

Book Value (₹236) — price trades at ~4.5× book value, typical for tech growth stocks.

Profitability

ROCE (−10.1%) and ROE (−10.3%) — still negative, but improving.

Dividend Yield (0.00%) — no income cushion, purely growth-focused.

Quarterly Performance

PAT Qtr: ₹139 Cr vs Prev Qtr: −₹24.8 Cr — strong turnaround (+117% YoY).

Debt-to-Equity (0.01) — extremely low, financially stable.

FII/DII Holding

FII down (−0.52%), DII up (+1.82%) — strong domestic institutional support.

✅ Swing Trade Strategy

Optimal Entry Price: ₹1,040–₹1,060 (minor pullback zone before next leg up)

Target Exit Price: ₹1,120–₹1,140 (near recent high)

Stop Loss: ₹1,015 (below short-term support and RSI pivot)

🧭 If You Already Hold the Stock

Hold with a target of ₹1,120–₹1,140.

Exit if price dips below ₹1,015 or RSI crosses 70 and starts to reverse.

Paytm shows strong technical momentum and a sharp earnings recovery, making it a favorable candidate for swing trading despite its still-recovering fundamentals.

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