SWSOLAR - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 2.9

📉 Current Price: ₹235

📊 Optimal Entry Price: ₹225–230 (near recent support and RSI zone)

📈 Suggested Exit (if holding): ₹260–270 (below 50 DMA resistance)

🔷 Positive

• 📉 Reasonable P/E: 18.1 vs industry average of 22.2 suggests fair valuation
• 📈 ROCE & ROE: ROCE at 13.5% and ROE at 11.2% indicate decent capital efficiency
• 📊 PEG Ratio: 0.32 implies undervaluation relative to growth
• 📉 RSI at 47.4: Neutral zone, potential for technical bounce

⚠️ Limitation

• 📉 MACD Negative: -6.58 signals bearish momentum
• 📉 Below DMA Levels: Price trading below both 50 DMA (₹249) and 200 DMA (₹311)
• 📉 High Leverage: Debt-to-equity ratio of 2.60 raises financial risk
• 📉 EPS Negative: -₹100 indicates poor profitability
• 📉 Volume Weakness: Current volume (23.6L) far below 1-week average (67.3L)

🚫 Company Negative News

• 📉 Profit Decline: PAT dropped from ₹78.4 Cr to ₹54.9 Cr (down 26.8%)
• 📉 FII & DII Selling: FII holding declined by 1.30%, DII by 1.84%

✅ Company Positive News

• 🔋 Renewable Focus: Continued investment in solar infrastructure and green energy projects
• 📈 Government Support: Sector benefits from national solar mission and clean energy incentives

🏭 Industry

• 🌞 Solar Energy Sector: Supported by long-term policy tailwinds and rising demand
• 📉 Valuation Pressure: Sector trading near peak multiples amid execution challenges

🧾 Conclusion

SWSOLAR presents a weak-to-moderate swing trade setup with sector support and fair valuation. However, technical weakness, declining profits, and institutional selling suggest caution. Entry near ₹225–230 may offer a short-term bounce, with exit near ₹260–270. Watch for MACD reversal and volume recovery before initiating new trades.

I can chart SWSOLAR’s price action with support and resistance zones to help you time your trade more precisely.