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UPL - Swing Trade Analysis with AI Signals

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Rating: 3.7

Last Updated Time : 19 Jun 26, 11:29 am

Swing Trade Rating: 3.7

Stock Code UPL Market Cap 51,563 Cr. Current Price 611 ₹ High / Low 812 ₹
Stock P/E 63.7 Book Value 166 ₹ Dividend Yield 0.98 % ROCE 8.51 %
ROE 6.22 % Face Value 2.00 ₹ DMA 50 636 ₹ DMA 200 666 ₹
Chg in FII Hold 2.94 % Chg in DII Hold -2.08 % PAT Qtr 373 Cr. PAT Prev Qtr 39.1 Cr.
RSI 41.1 MACD -8.22 Volume 8,97,080 Avg Vol 1Wk 14,91,328
Low price 565 ₹ High price 812 ₹ PEG Ratio -12.2 Debt to equity 0.06
52w Index 18.5 % Qtr Profit Var 591 % EPS 9.30 ₹ Industry PE 22.0

📈 Optimal Entry Price: 600–615 ₹ (near support zone close to 50 DMA)

📉 Exit Strategy: If already holding, consider exiting near 640–660 ₹ (short-term resistance) or cut losses if price falls below 590 ₹.

Positive

  • 📊 EPS at 9.30 ₹ supports valuation strength.
  • 📈 PAT improved sharply (39.1 Cr. → 373 Cr.), showing strong earnings rebound.
  • 💰 Dividend yield of 0.98% provides shareholder returns.
  • 📉 Debt-to-equity ratio at 0.06, reflecting low leverage.
  • 📊 FII holdings increased (+2.94%), showing foreign investor confidence.
  • 📈 RSI at 41.1 indicates stock is not overbought, potential for recovery.

Limitation

  • ⚠️ High P/E ratio (63.7) compared to industry PE (22.0), indicating overvaluation.
  • 📉 ROCE (8.51%) and ROE (6.22%) remain weak.
  • 📊 PEG ratio at -12.2 suggests poor growth valuation.
  • 📉 MACD negative (-8.22), signaling bearish momentum.
  • ⚠️ Trading volume (8.97 lakh) lower than weekly average (14.9 lakh), showing reduced liquidity.
  • 📉 Current price below both 50 DMA (636 ₹) and 200 DMA (666 ₹), showing medium-term weakness.

Company Negative News

  • ❌ Weak efficiency ratios despite profit rebound.
  • ⚠️ DII holdings decreased (-2.08%), showing reduced domestic support.

Company Positive News

  • ✅ Quarterly profit variation at +591% shows strong earnings recovery.
  • 📈 Foreign institutional investors increasing stake, boosting confidence.
  • 📊 Strong 52-week performance (+18.5%).

Industry

  • 🌐 Industry PE at 22.0 is much lower than UPL’s PE (63.7), highlighting premium valuation.
  • 📊 Agrochemicals sector remains cyclical but supported by global demand and export opportunities.

Conclusion

⚖️ UPL is a moderate swing trade candidate with strong profit recovery and FII support but faces valuation risks and weak technicals. Entry near 600–615 ₹ offers limited upside, with exit near 640–660 ₹. Stop-loss should be maintained around 590 ₹ due to bearish momentum and efficiency concerns.

This analysis frames UPL as a recovery-backed but valuation-sensitive swing candidate. Would you like me to extend this into a sector overlay comparison with peers like PI Industries and Bayer CropScience to benchmark its swing potential?

Technical Analysis
Fundamental Analysis

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