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THELEELA - Swing Trade Analysis with AI Signals

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Rating: 3.8

Last Updated Time : 04 Feb 26, 02:09 am

Swing Trade Rating: 3.8

Stock Code THELEELA Market Cap 14,993 Cr. Current Price 448 ₹ High / Low 475 ₹
Stock P/E 67.5 Book Value 268 ₹ Dividend Yield 0.00 % ROCE 5.06 %
ROE 1.08 % Face Value 10.0 ₹ DMA 50 422 ₹ DMA 200 425 ₹
Chg in FII Hold 0.52 % Chg in DII Hold -0.50 % PAT Qtr 78.3 Cr. PAT Prev Qtr 72.8 Cr.
RSI 62.6 MACD 1.23 Volume 3,79,941 Avg Vol 1Wk 11,84,244
Low price 381 ₹ High price 475 ₹ PEG Ratio 2.21 Debt to equity 0.05
52w Index 70.9 % Qtr Profit Var 673 % EPS 6.83 ₹ Industry PE 31.6

📊 The Leela is showing potential for swing trading with its current price at ₹448, close to the upper band of its 52-week range (₹381–₹475). The stock trades above both its 50 DMA (₹422) and 200 DMA (₹425), indicating short-term strength. RSI at 62.6 suggests the stock is nearing overbought territory, while MACD at 1.23 shows mild bullish momentum. Valuation is stretched with a P/E of 67.5 compared to industry average of 31.6, and ROE/ROCE remain weak. However, strong profit growth (+673% YoY) and low debt-to-equity ratio (0.05) provide positives for traders.

✅ Optimal Entry Price: Around ₹430–440 (near support zone, slightly below current price).

🚪 Exit Strategy (if already holding): Consider exit near ₹465–475 (resistance zone close to 52-week high). If price falls below ₹425 (200 DMA), use stop-loss to protect capital.

Positive

  • 📈 Strong quarterly profit growth (+673% YoY).
  • 🏦 FII holdings increased (+0.52%).
  • 📊 Trading above both 50 DMA and 200 DMA.
  • 💰 Very low debt-to-equity ratio (0.05).

Limitation

  • ⚠️ High P/E (67.5 vs industry 31.6).
  • 📉 Weak ROE (1.08%) and ROCE (5.06%).
  • 📉 RSI at 62.6 indicates nearing overbought zone.
  • 📉 Low trading volume compared to weekly average.

Company Negative News

  • 📉 DII holdings decreased (-0.50%).
  • ⚠️ No dividend yield, reducing investor appeal.

Company Positive News

  • 📈 PAT improved sequentially (78.3 Cr. vs 72.8 Cr.).
  • 🏦 Increased FII stake signals confidence.

Industry

  • 🏨 Hospitality sector average PE is 31.6, The Leela trades at a premium.
  • 📊 Sector recovery post-pandemic supports growth, but valuations remain stretched.

Conclusion

⚖️ The Leela is a moderately suitable candidate for swing trading. Entry near ₹430–440 offers better risk-reward, while exits should be targeted near ₹465–475. High valuation and weak return ratios limit upside, but strong profit growth and low debt provide support. Traders should remain cautious and apply strict stop-loss discipline below ₹425.

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