TATACOMM - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.5
| Stock Code | TATACOMM | Market Cap | 44,755 Cr. | Current Price | 1,570 ₹ | High / Low | 2,004 ₹ |
| Stock P/E | 57.8 | Book Value | 371 ₹ | Dividend Yield | 1.59 % | ROCE | 8.69 % |
| ROE | 7.36 % | Face Value | 10.0 ₹ | DMA 50 | 1,536 ₹ | DMA 200 | 1,639 ₹ |
| Chg in FII Hold | -0.02 % | Chg in DII Hold | 0.65 % | PAT Qtr | 172 Cr. | PAT Prev Qtr | 306 Cr. |
| RSI | 56.3 | MACD | 27.3 | Volume | 4,24,601 | Avg Vol 1Wk | 5,65,048 |
| Low price | 1,322 ₹ | High price | 2,004 ₹ | PEG Ratio | -19.9 | Debt to equity | 0.52 |
| 52w Index | 36.3 % | Qtr Profit Var | 57.4 % | EPS | 27.9 ₹ | Industry PE | 40.7 |
TATACOMM shows moderate fundamentals and improving technical signals, making it a fair candidate for swing trading. The company has a relatively high P/E ratio (57.8 vs. industry average of 40.7), but decent EPS (27.9 ₹) and dividend yield (1.59%). ROCE (8.69%) and ROE (7.36%) are modest, while quarterly PAT dropped (172 Cr. vs. 306 Cr.), indicating earnings pressure. Technically, the stock is trading above its 50 DMA (1,536 ₹) but below its 200 DMA (1,639 ₹). RSI at 56.3 is neutral, and MACD at 27.3 is bullish, suggesting short-term upward momentum.
Optimal Entry Price: Entry can be considered around 1,540–1,560 ₹, near the 50 DMA support.
Exit Strategy (if already holding): Exit near 1,620–1,650 ₹ resistance or if the price fails to sustain above 1,570 ₹.
✅ Positive
- EPS of 27.9 ₹ provides earnings visibility.
- Dividend yield of 1.59% adds shareholder value.
- MACD positive, confirming bullish momentum.
- DII holdings increased by 0.65%, showing domestic institutional support.
⚠️ Limitation
- High P/E ratio compared to industry peers.
- ROCE and ROE remain modest.
- Stock trading below 200 DMA indicates longer-term weakness.
📉 Company Negative News
- Quarterly PAT fell sharply from 306 Cr. to 172 Cr.
- FII holdings decreased slightly (-0.02%).
- Debt-to-equity ratio at 0.52 is relatively high compared to peers.
📈 Company Positive News
- DII holdings increased, showing local institutional confidence.
- Dividend yield supports long-term investors.
- Neutral RSI suggests room for upside without immediate overbought risk.
🏭 Industry
- Industry average P/E is 40.7, lower than TATACOMM’s 57.8.
- Peers may be cheaper, but TATACOMM shows improving technical strength.
🔎 Conclusion
TATACOMM presents a moderate swing trading opportunity with improving technicals but weak recent earnings. Entry around 1,540–1,560 ₹ is reasonable, with an exit target near 1,620–1,650 ₹. Caution is advised due to high valuations and declining profitability, though short-term momentum supports a potential upswing.