TATAINVEST - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 3.6

📊 Swing Trade Analysis for TATAINVEST

TATAINVEST shows strong short-term momentum but is fundamentally weak for swing trading. While the stock has surged recently, its valuation and profitability metrics suggest caution for new entries.

✅ Strengths

Momentum Surge: RSI at 80.4 and MACD at 76.4 indicate strong bullish momentum, though RSI is in overbought territory.

Trend Confirmation: Price is well above both 50 DMA (₹6,832) and 200 DMA (₹6,539), confirming a strong uptrend.

Earnings Growth: PAT rose from ₹35.2 Cr. to ₹139 Cr., a 23.5% quarterly improvement.

Zero Leverage: Debt-to-equity ratio of 0.00 adds financial safety.

Volume Spike: Current volume is nearly 4x the 1-week average, showing intense trader interest.

High 52w Index (94.9%): Indicates strong price performance relative to its yearly high.

⚠️ Weaknesses

Overbought RSI: At 80.4, the stock may be due for a short-term pullback.

Extreme Valuation: P/E of 123 vs industry average of 32.0 and PEG of 10.3 suggest significant overvaluation.

Weak Profitability: ROCE at 1.09% and ROE at 0.93% are far below ideal swing trade thresholds.

Low Dividend Yield: At 0.36%, offers minimal income support.

Minimal Institutional Change: FII and DII holdings barely moved, indicating neutral sentiment.

🎯 Optimal Entry Price

Entry Zone: ₹7,000–₹7,100

A pullback near the 50 DMA offers a lower-risk entry once RSI cools below 65.

🚪 Exit Strategy (If Already Holding)

Target Exit: ₹7,600–₹7,630

Near the recent high, where resistance is likely.

Stop-Loss: ₹6,800

Below the 50 DMA to protect against reversal.

🧠 Final Thought

TATAINVEST is a momentum-driven swing candidate with strong price action but weak fundamentals. Best suited for short-term tactical traders who can manage risk tightly and exit quickly if momentum fades.

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