TORNTPHARM - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 3.8

📈 TORNTPHARM Swing Trade Analysis

TORNTPHARM presents a moderately attractive swing trade setup, backed by strong fundamentals but currently showing weak technical momentum.

✅ Strengths

Fundamental Quality

ROCE: 27.8% / ROE: 26.2% — excellent capital efficiency.

EPS: ₹58.2 — strong earnings base.

Quarterly PAT Growth: ₹492 Cr. → ₹551 Cr. (up 17.5%) — consistent profitability.

Debt-to-Equity: 0.35 — manageable leverage.

Price Above 200 DMA (₹3,334) — long-term support intact.

Volume Strength: Current volume is 25% above 1-week average, indicating rising interest.

⚠️ Weaknesses

MACD: -6.98 — bearish crossover, signaling short-term weakness.

RSI: 48.0 — neutral zone, lacking momentum.

High P/E (60.8) vs Industry PE (33.4) — significantly overvalued.

PEG Ratio: 2.50 — growth may not justify valuation.

Price Below 50 DMA (₹3,543) — short-term trend is under pressure.

FII Sentiment Slightly Negative: Minor drop in foreign institutional holdings.

🎯 Trade Strategy

Optimal Entry Price: ₹3,500–₹3,520

Enter near 50 DMA if MACD begins to flatten and RSI trends upward.

Exit Plan (If Holding)

Target Exit: ₹3,700–₹3,740

Conservative target below recent high of ₹3,790.

Stop Loss: ₹3,440

Just below 200 DMA to manage downside risk.

TORNTPHARM is a fair swing candidate for traders who prioritize strong fundamentals and can wait for technical confirmation. Let me know if you'd like to track this setup or compare it with other pharma stocks.

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