⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
TCS - Swing Trade Analysis with AI Signals
Back to ListHere’s the structured swing trade analysis for TCS based on the provided parameters
Swing Trade Rating: 3.9
| Stock Code | TCS | Market Cap | 7,97,317 Cr. | Current Price | 2,203 ₹ | High / Low | 3,490 ₹ |
| Stock P/E | 15.3 | Book Value | 234 ₹ | Dividend Yield | 2.90 % | ROCE | 76.7 % |
| ROE | 65.2 % | Face Value | 1.00 ₹ | DMA 50 | 2,342 ₹ | DMA 200 | 2,770 ₹ |
| Chg in FII Hold | -0.71 % | Chg in DII Hold | 0.53 % | PAT Qtr | 14,526 Cr. | PAT Prev Qtr | 12,684 Cr. |
| RSI | 43.3 | MACD | -49.5 | Volume | 40,04,689 | Avg Vol 1Wk | 31,95,251 |
| Low price | 2,110 ₹ | High price | 3,490 ₹ | PEG Ratio | 1.51 | Debt to equity | 0.11 |
| 52w Index | 6.76 % | Qtr Profit Var | 30.7 % | EPS | 136 ₹ | Industry PE | 21.0 |
📈 Optimal Entry Price: Around 2,150–2,180 ₹ (near support zone)
📉 Exit Strategy: If already holding, consider profit booking near 2,500–2,600 ₹ resistance zone. A stop-loss can be placed below 2,100 ₹.
Positive
- ✅ Exceptional ROCE (76.7%) and ROE (65.2%) highlight operational efficiency.
- ✅ EPS of 136 ₹ supports strong earnings power.
- ✅ Dividend yield of 2.90% provides steady income.
- ✅ Quarterly PAT improved to 14,526 Cr. from 12,684 Cr. (+30.7% growth).
- ✅ Strong fundamentals with low debt-to-equity ratio (0.11).
Limitation
- ⚠️ Current price (2,203 ₹) below both 50 DMA (2,342 ₹) and 200 DMA (2,770 ₹), showing technical weakness.
- ⚠️ RSI at 43.3 indicates weak momentum.
- ⚠️ MACD negative (-49.5) reflects bearish trend.
- ⚠️ FII holdings decreased (-0.71%), showing reduced foreign investor confidence.
- ⚠️ 52-week index at 6.76% reflects underperformance relative to highs.
Company Negative News
- 📉 Stock trading near 52-week low zone.
- 📉 Weak sentiment reflected in declining foreign investor holdings.
Company Positive News
- 📈 Quarterly profit growth of 30.7% indicates strong earnings momentum.
- 📈 DII holdings increased (+0.53%), showing domestic investor confidence.
- 📈 Strong fundamentals with high ROCE and ROE.
Industry
- 🏭 Industry PE is 21.0, TCS trades at 15.3 — undervalued relative to peers.
- 🏭 IT services industry benefits from global demand but faces risks from currency fluctuations and client spending cycles.
Conclusion
🔎 TCS is a moderately good candidate for swing trading with caution. Strong fundamentals and undervaluation support long-term strength, but weak technicals and sentiment limit short-term upside. Entry near 2,150–2,180 ₹ offers better risk-reward potential, with exits around 2,500–2,600 ₹ advisable unless momentum improves further.
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