SCHNEIDER - Swing Trade Analysis with AI Signals

Last Updated Time : 19 Sept 25, 2:15 pm

Swing Trade Rating: 4.2

📊 Swing Trade Analysis for SCHNEIDER

SCHNEIDER shows a promising swing trade setup with strong technical positioning and exceptional profitability metrics, though some caution is warranted due to valuation and earnings volatility.

✅ Strengths

High ROE/ROCE: ROE at 74.0% and ROCE at 40.9% are outstanding, indicating superior capital efficiency.

Bullish Technicals: Price is above both 50 DMA (₹870) and 200 DMA (₹781), confirming an uptrend.

MACD Positive (3.72): Suggests bullish momentum is building.

PEG Ratio of 0.84: Indicates reasonable valuation relative to growth.

FII Interest: Slight increase (+0.10%) in FII holdings supports sentiment.

⚠️ Weaknesses

High Valuation: P/E of 87.0 is significantly above industry average (49.5), suggesting premium pricing.

Earnings Decline: PAT dropped from ₹54.6 Cr. to ₹41.2 Cr., a 14.9% fall.

Volume Dip: Current volume is slightly below the 1-week average, indicating mild cooling.

High Leverage: Debt-to-equity ratio of 1.27 is elevated, which could amplify downside risk.

No Dividend Yield: Not attractive for income-focused investors.

🎯 Optimal Entry Price

Entry Zone: ₹880–₹890

A pullback near the 50 DMA offers a lower-risk entry with trend support.

🚪 Exit Strategy (If Already Holding)

Target Exit: ₹940–₹960

A reasonable upside before testing resistance near the recent high.

Stop-Loss: ₹860

Below the 50 DMA to protect against reversal.

🧠 Final Thought

SCHNEIDER is a technically strong swing candidate with exceptional profitability and trend support. While valuation and debt levels are high, disciplined entry and exit can make this a rewarding short-term trade.

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