TANLA - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 4.2

📊 Swing Trade Analysis for TANLA

TANLA presents a strong swing trading setup, driven by excellent profitability, bullish technical indicators, and favorable valuation. While recent earnings volatility and foreign investor pullback warrant caution, the overall setup supports a short-term tactical trade.

✅ Strengths

Momentum Indicators: RSI at 67.7 and MACD at 18.0 signal strong bullish momentum nearing breakout territory.

Trend Confirmation: Price is well above both 50 DMA (₹647) and 200 DMA (₹645), confirming a solid uptrend.

Profitability: ROCE at 41.0% and ROE at 47.6% reflect exceptional capital efficiency.

Valuation Support: P/E of 26.9 is below the industry average (34.0), and PEG of 0.70 suggests undervaluation relative to growth.

Dividend Yield: 1.72% offers modest income support.

EPS Strength: ₹26.0 EPS supports earnings quality.

Quarterly Profit Surge: Qtr Profit Var of 207% shows strong rebound despite sequential dip.

⚠️ Weaknesses

Earnings Volatility: PAT dropped from ₹199 Cr. to ₹52.3 Cr., indicating inconsistency.

FII Pullback: Decline of 3.08% in FII holdings may reflect foreign caution.

Volume Dip: Current volume is below the 1-week average, suggesting reduced short-term interest.

Moderate 52w Index (53.5%): Indicates room for recovery but also past underperformance.

🎯 Optimal Entry Price

Entry Zone: ₹675–₹685

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

🚪 Exit Strategy (If Already Holding)

Target Exit: ₹740–₹760

A reasonable upside before testing resistance near ₹780.

Stop-Loss: ₹645

Below the 200 DMA to protect against reversal.

🧠 Final Thought

TANLA is a technically and fundamentally strong swing candidate. While earnings volatility and foreign sentiment are weak spots, the setup favors a short-term trade with disciplined entry and exit. Ideal for momentum-driven traders seeking tactical gains.

Edit in a page