VEDL - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 4.0

📊 VEDL is a strong swing trade candidate with bullish technicals and attractive yield, though earnings volatility warrants caution. Optimal entry is ₹500–₹510. If already held, consider exiting near ₹525–₹535.

📈 Positive

• MACD (12.6) and RSI (62.4) indicate bullish momentum with potential for further upside.
• Trading above 50-DMA (₹472) and 200-DMA (₹449) confirms strong technical support.
• ROCE (18.5%) and ROE (21.8%) reflect solid operational and financial efficiency.
• Dividend yield (8.56%) is highly attractive for short-term holding.
• EPS of ₹28.5 supports valuation strength.

⚠️ Limitation

• Quarterly PAT dropped from ₹3,927 Cr. to ₹2,195 Cr., showing earnings volatility.
• PEG ratio (-5.23) suggests valuation concerns relative to growth.
• Volume below 1-week average may reflect reduced short-term interest.
• Debt-to-equity ratio (0.71) is moderate and should be monitored.

🚫 Company Negative News

• DII holdings declined by 0.22%, indicating reduced domestic institutional confidence.

✅ Company Positive News

• FII holdings increased by 0.48%, showing rising foreign investor interest.
• Strong dividend payout and consistent profitability reinforce investor appeal.

🌐 Industry

• VEDL operates in the metals and mining sector, which is cyclical and influenced by global commodity prices.
• Industry P/E of 41.8 reflects higher growth expectations, while VEDL trades at a discount (P/E 21.1).

🧾 Conclusion

• VEDL is a strong swing trade candidate with bullish technicals and high dividend yield.
• Optimal entry: ₹500–₹510 (near current price and breakout zone).
• Exit target: ₹525–₹535 (near 52-week high and resistance).
• Watch for volume recovery and MACD continuation to confirm momentum.

I can help you compare VEDL’s setup with other metal sector stocks to identify complementary swing trade opportunities.