⚠ 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.
RITES - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.9
| Stock Code | RITES | Market Cap | 10,586 Cr. | Current Price | 220 ₹ | High / Low | 316 ₹ |
| Stock P/E | 26.6 | Book Value | 52.4 ₹ | Dividend Yield | 3.43 % | ROCE | 20.0 % |
| ROE | 15.1 % | Face Value | 10.0 ₹ | DMA 50 | 211 ₹ | DMA 200 | 231 ₹ |
| Chg in FII Hold | 0.01 % | Chg in DII Hold | 0.07 % | PAT Qtr | 95.5 Cr. | PAT Prev Qtr | 102 Cr. |
| RSI | 59.5 | MACD | 5.36 | Volume | 3,88,732 | Avg Vol 1Wk | 3,73,871 |
| Low price | 175 ₹ | High price | 316 ₹ | PEG Ratio | -3.14 | Debt to equity | 0.00 |
| 52w Index | 32.0 % | Qtr Profit Var | 0.55 % | EPS | 8.30 ₹ | Industry PE | 19.0 |
RITES shows balanced fundamentals with strong ROCE (20%) and ROE (15.1%), zero debt, and a healthy dividend yield (3.43%). However, earnings growth is modest with quarterly PAT slightly declining (₹102 Cr → ₹95.5 Cr). The stock trades near its 50 DMA (₹211) but below the 200 DMA (₹231), suggesting short-term support but medium-term resistance. Optimal entry would be around ₹210–₹215. If already holding, consider exiting near ₹230–₹235 to capture gains before resistance.
✅ Positive
- Strong ROCE (20%) and ROE (15.1%) indicate efficient capital use.
- Debt-free balance sheet reduces financial risk.
- Dividend yield of 3.43% provides steady income.
- Stable trading volume, slightly above weekly average, shows consistent interest.
⚠️ Limitation
- P/E of 26.6 is higher than industry average of 19.0, suggesting premium valuation.
- EPS of ₹8.30 is modest relative to price.
- Quarterly PAT declined slightly, showing limited earnings momentum.
- PEG ratio of -3.14 indicates weak growth-adjusted valuation.
📰 Company Negative News
- No major negative news reported, but earnings growth remains sluggish.
🌟 Company Positive News
- Dividend yield remains attractive at 3.43%.
- Institutional support stable with slight increase in FII (+0.01%) and DII (+0.07%) holdings.
🏭 Industry
- Industry P/E at 19.0, lower than RITES’s 26.6, suggesting overvaluation.
- Railway and infrastructure sector benefiting from government investment and expansion projects.
📌 Conclusion
RITES is fundamentally strong with zero debt and solid returns, but modest earnings growth and premium valuation limit upside. Best swing trade entry is around ₹210–₹215. If already holding, exit near ₹230–₹235 to secure gains before resistance.