⚠ 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.

PERSISTENT - Swing Trade Analysis with AI Signals

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Rating: 4

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

Swing Trade Rating: 4.0

Stock Code PERSISTENT Market Cap 99,049 Cr. Current Price 6,277 ₹ High / Low 6,599 ₹
Stock P/E 63.0 Book Value 420 ₹ Dividend Yield 0.56 % ROCE 28.4 %
ROE 20.9 % Face Value 5.00 ₹ DMA 50 6,204 ₹ DMA 200 5,826 ₹
Chg in FII Hold 1.55 % Chg in DII Hold -0.80 % PAT Qtr 452 Cr. PAT Prev Qtr 459 Cr.
RSI 51.9 MACD -45.2 Volume 3,67,228 Avg Vol 1Wk 3,95,713
Low price 4,149 ₹ High price 6,599 ₹ PEG Ratio 3.23 Debt to equity 0.05
52w Index 86.8 % Qtr Profit Var 38.7 % EPS 96.4 ₹ Industry PE 25.1

📊 PERSISTENT shows strong fundamentals with mild technical weakness, making it a good candidate for swing trading. The stock is currently at ₹6,277, slightly above its 50 DMA (₹6,204) and well above its 200 DMA (₹5,826), reflecting long-term bullish strength. RSI at 51.9 is neutral, while MACD at -45.2 indicates short-term bearishness. With robust ROCE (28.4%), ROE (20.9%), and EPS (₹96.4), fundamentals remain solid. Optimal entry would be in the ₹6,150–₹6,250 range. If already holding, exit near ₹6,550–₹6,600, close to the recent high resistance.

✅ Positive

  • Strong ROCE (28.4%) and ROE (20.9%) highlight operational efficiency.
  • EPS of ₹96.4 supports valuation strength.
  • FII holdings increased (+1.55%), showing foreign investor confidence.
  • Debt-to-equity ratio at 0.05 indicates negligible leverage risk.
  • Quarterly profit growth (+38.7%) adds momentum to fundamentals.

⚠️ Limitation

  • High P/E of 63 compared to industry PE of 25.1 suggests overvaluation.
  • PEG ratio of 3.23 indicates expensive valuation relative to growth.
  • MACD negative (-45.2), confirming short-term bearish momentum.
  • DII holdings decreased (-0.80%), showing reduced domestic institutional support.

📉 Company Negative News

  • Quarterly PAT slightly declined (₹459 Cr. to ₹452 Cr.).
  • MACD bearish, suggesting near-term weakness.
  • DII outflows (-0.80%) reflect reduced domestic confidence.

📈 Company Positive News

  • Strong quarterly profit growth (+38.7%) year-on-year.
  • FII inflows (+1.55%) show foreign investor confidence.
  • EPS and ROCE/ROE remain robust, supporting long-term strength.

🏭 Industry

  • Industry PE at 25.1 is much lower than PERSISTENT’s 63, highlighting overvaluation.
  • IT services sector remains strong, supported by digital transformation and global outsourcing demand.

🔎 Conclusion

PERSISTENT is a strong swing candidate with excellent fundamentals but short-term technical weakness and valuation concerns. Entry near ₹6,150–₹6,250 offers margin of safety. Exit around ₹6,550–₹6,600 is advisable if already holding, as resistance is expected near recent highs. Risk management is essential due to high P/E and bearish MACD signals.

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