REDINGTON - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 4.4
| Stock Code | REDINGTON | Market Cap | 21,266 Cr. | Current Price | 272 ₹ | High / Low | 335 ₹ |
| Stock P/E | 17.1 | Book Value | 67.8 ₹ | Dividend Yield | 2.21 % | ROCE | 26.4 % |
| ROE | 25.2 % | Face Value | 2.00 ₹ | DMA 50 | 232 ₹ | DMA 200 | 245 ₹ |
| Chg in FII Hold | -0.45 % | Chg in DII Hold | -0.16 % | PAT Qtr | 289 Cr. | PAT Prev Qtr | 223 Cr. |
| RSI | 72.9 | MACD | 7.67 | Volume | 4,32,94,640 | Avg Vol 1Wk | 1,20,60,723 |
| Low price | 191 ₹ | High price | 335 ₹ | PEG Ratio | 3.32 | Debt to equity | 0.28 |
| 52w Index | 56.2 % | Qtr Profit Var | 37.8 % | EPS | 15.9 ₹ | Industry PE | 24.7 |
📊 REDINGTON shows strong fundamentals with ROCE (26.4%) and ROE (25.2%), supported by low debt-to-equity (0.28). Quarterly PAT growth (+37.8%) and EPS of 15.9 ₹ highlight earnings strength. Technicals are bullish with RSI at 72.9 (near overbought) and MACD positive (7.67), supported by very high trading volume. Valuation is fair with P/E (17.1 vs industry 24.7), making it attractive relative to peers. The stock trades well above both 50 DMA (232 ₹) and 200 DMA (245 ₹), indicating strong momentum.
💡 Optimal Entry Price: Around 250–260 ₹ (near 200 DMA support).
🚪 Exit Strategy: If already holding, consider booking profits near 330–335 ₹ (resistance zone) or trail stop-loss at 260 ₹ to protect gains.
🌟 Positive
- 📈 Strong ROCE (26.4%) and ROE (25.2%).
- 💰 Low debt-to-equity ratio (0.28).
- 📊 PAT growth (289 Cr vs 223 Cr, +37.8%).
- 📉 Attractive valuation with P/E (17.1) below industry average (24.7).
⚠️ Limitation
- 📌 RSI at 72.9 indicates near overbought territory.
- 📌 PEG ratio (3.32) suggests valuation stretched relative to growth.
- 📌 FII holdings decreased (-0.45%) and DII holdings decreased (-0.16%).
📰 Company Negative News
- ⚠️ Reduced institutional confidence with FII and DII stake declines.
- ⚠️ RSI near overbought zone raises risk of short-term correction.
📰 Company Positive News
- ✅ Strong quarterly profit growth and earnings momentum.
- ✅ Technical strength with price trading above both 50 DMA and 200 DMA.
🏭 Industry
- Industry P/E at 24.7, highlighting REDINGTON’s attractive valuation.
- IT distribution and services sector benefits from digital transformation and rising demand.
✅ Conclusion
REDINGTON is fundamentally strong with attractive valuation and bullish technicals, making it a good candidate for swing trading. Entry near 250–260 ₹ offers favorable risk-reward, while profit booking near 330–335 ₹ is prudent. Overbought RSI and reduced institutional confidence remain key risks, so disciplined stop-loss management is essential.
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