SAGILITY - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.2
| Stock Code | SAGILITY | Market Cap | 19,470 Cr. | Current Price | 41.6 ₹ | High / Low | 57.9 ₹ |
| Stock P/E | 50.9 | Book Value | 22.1 ₹ | Dividend Yield | 0.12 % | ROCE | 4.37 % |
| ROE | 2.88 % | Face Value | 10.0 ₹ | DMA 50 | 42.5 ₹ | DMA 200 | 44.6 ₹ |
| Chg in FII Hold | -0.23 % | Chg in DII Hold | 0.92 % | PAT Qtr | 93.4 Cr. | PAT Prev Qtr | 111 Cr. |
| RSI | 49.3 | MACD | 0.05 | Volume | 78,93,813 | Avg Vol 1Wk | 1,06,26,993 |
| Low price | 35.8 ₹ | High price | 57.9 ₹ | PEG Ratio | 0.17 | Debt to equity | 0.09 |
| 52w Index | 26.2 % | Qtr Profit Var | -15.2 % | EPS | 0.77 ₹ | Industry PE | 26.0 |
📊 SAGILITY shows weak fundamentals and mixed technicals for swing trading. The RSI at 49.3 suggests neutral momentum, while the MACD is barely positive (0.05), indicating limited bullish strength. The current price (41.6 ₹) is below both the 50 DMA (42.5 ₹) and 200 DMA (44.6 ₹), reflecting short-term weakness. Profitability metrics are low (ROCE 4.37%, ROE 2.88%), and valuation is expensive with a P/E of 50.9 compared to the industry average of 26.0. Despite low debt (0.09), earnings remain weak with EPS at only 0.77 ₹.
💡 Optimal Entry Price: Around 39–40 ₹, closer to support levels near 38–39 ₹.
📈 Exit Strategy: If already holding, consider exiting near 44–45 ₹ (DMA resistance zone) unless momentum improves significantly.
Positive
- Low debt-to-equity ratio (0.09) reduces financial risk.
- DII holdings increased (+0.92%), showing domestic institutional support.
- PEG ratio of 0.17 suggests potential growth relative to earnings.
- 52-week index performance (+26.2%) shows resilience.
Limitation
- High P/E ratio (50.9) compared to industry average (26.0), making valuation expensive.
- Weak profitability: ROCE (4.37%) and ROE (2.88%) are low.
- EPS of 0.77 ₹ indicates limited earnings strength.
- Price below both 50 DMA and 200 DMA shows weak technicals.
Company Negative News
- Decline in FII holdings (-0.23%) reflects reduced foreign investor confidence.
- PAT declined (93.4 Cr vs 111 Cr), showing earnings pressure.
- Quarterly profit variation (-15.2%) highlights slowdown.
Company Positive News
- DII holdings increased (+0.92%), showing domestic institutional support.
- Stable trading volumes, though slightly below 1-week average.
Industry
- Industry PE is 26.0, much lower than SAGILITY’s 50.9, suggesting peers may be more attractively valued.
- IT and services sector remains growth-oriented but competitive, with pressure on margins.
Conclusion
⚖️ SAGILITY is a weak candidate for swing trading due to expensive valuation, low profitability, and weak technicals. Entry near 39–40 ₹ may provide limited rebound potential, but upside is capped around 44–45 ₹. Risk management is crucial, as fundamentals do not strongly support momentum-based gains.