TRENT - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.9
| Stock Code | TRENT | Market Cap | 1,42,670 Cr. | Current Price | 4,013 ₹ | High / Low | 6,261 ₹ |
| Stock P/E | 84.3 | Book Value | 186 ₹ | Dividend Yield | 0.12 % | ROCE | 28.6 % |
| ROE | 27.2 % | Face Value | 1.00 ₹ | DMA 50 | 4,081 ₹ | DMA 200 | 4,748 ₹ |
| Chg in FII Hold | -1.19 % | Chg in DII Hold | 1.53 % | PAT Qtr | 451 Cr. | PAT Prev Qtr | 423 Cr. |
| RSI | 54.1 | MACD | -81.0 | Volume | 20,09,158 | Avg Vol 1Wk | 10,70,242 |
| Low price | 3,644 ₹ | High price | 6,261 ₹ | PEG Ratio | 1.08 | Debt to equity | 0.35 |
| 52w Index | 14.1 % | Qtr Profit Var | 6.45 % | EPS | 47.6 ₹ | Industry PE | 43.7 |
📊 TRENT shows strong fundamentals with high ROCE, ROE, and consistent profit growth. The stock has healthy liquidity and institutional support from DIIs. However, it trades at a steep premium compared to industry PE, faces FII outflows, and shows weak technical momentum with negative MACD. It is a moderately good candidate for swing trading with cautious positioning.
✅ Optimal Entry Price: Around 3,950–4,000 ₹ (near support, slightly below current price)
🚪 Exit Strategy: If already holding, consider exiting near 4,250–4,300 ₹ (resistance zone before 200 DMA at 4,748 ₹).
Positive
- ROCE (28.6%) and ROE (27.2%) reflect strong efficiency.
- EPS of 47.6 ₹ indicates solid earnings power.
- Quarterly PAT improved (451 Cr vs 423 Cr), showing growth momentum.
- DII holdings increased (+1.53%), reflecting domestic institutional confidence.
- PEG ratio of 1.08 suggests fair valuation relative to growth.
- Strong trading volume above weekly average, indicating liquidity.
Limitation
- High P/E (84.3) compared to industry PE (43.7), suggesting overvaluation.
- MACD negative (-81.0) indicates bearish momentum.
- RSI at 54.1 is neutral, not strongly oversold.
- Dividend yield of 0.12% offers minimal investor return.
- Debt-to-equity ratio of 0.35 adds moderate leverage risk.
Company Negative News
- Decline in FII holdings (-1.19%) shows reduced foreign investor confidence.
- Stock has corrected sharply from 52-week high of 6,261 ₹.
Company Positive News
- Quarterly profit variation of 6.45% highlights steady growth.
- DII holdings increased, reflecting strong domestic support.
- Fundamentals remain strong with high efficiency ratios.
Industry
- Industry PE at 43.7 is much lower, highlighting TRENT’s premium valuation.
- Retail sector continues to benefit from rising consumer demand and expansion opportunities.
Conclusion
⚖️ TRENT offers moderate swing trading potential with entry near 3,950–4,000 ₹ and exit near 4,250–4,300 ₹. While fundamentals are strong and DII confidence is rising, premium valuation and weak technical momentum warrant caution. Best suited for short-term traders looking for limited upside.