⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
VOLTAS - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.2
| Stock Code | VOLTAS | Market Cap | 47,203 Cr. | Current Price | 1,426 ₹ | High / Low | 1,531 ₹ |
| Stock P/E | 96.1 | Book Value | 243 ₹ | Dividend Yield | 0.49 % | ROCE | 12.7 % |
| ROE | 9.79 % | Face Value | 1.00 ₹ | DMA 50 | 1,377 ₹ | DMA 200 | 1,381 ₹ |
| Chg in FII Hold | -1.85 % | Chg in DII Hold | 2.12 % | PAT Qtr | 59.7 Cr. | PAT Prev Qtr | 7.33 Cr. |
| RSI | 56.9 | MACD | -11.7 | Volume | 6,10,374 | Avg Vol 1Wk | 8,07,565 |
| Low price | 1,172 ₹ | High price | 1,531 ₹ | PEG Ratio | 10.2 | Debt to equity | 0.17 |
| 52w Index | 70.7 % | Qtr Profit Var | -44.9 % | EPS | 14.5 ₹ | Industry PE | 49.8 |
📊 VOLTAS shows moderate potential for swing trading. While fundamentals like ROCE and ROE are stable and institutional support is strong, high valuation and weak technical indicators limit short-term upside. Entry is favorable near support levels, while exits should be timed around resistance zones.
Positive ✅
- ROCE (12.7%) and ROE (9.79%) reflect moderate efficiency.
- DII holdings increased (+2.12%), showing strong domestic institutional support.
- Quarterly PAT recovery (59.7 Cr. vs 7.33 Cr.) indicates operational improvement.
- Dividend yield of 0.49% provides shareholder returns.
- Stock trading above both 50 DMA (1,377 ₹) and 200 DMA (1,381 ₹), showing technical stability.
Limitation ⚠️
- High P/E ratio (96.1) compared to industry average (49.8), suggesting overvaluation.
- PEG ratio of 10.2 indicates poor growth prospects relative to valuation.
- MACD (-11.7) signals bearish momentum.
- Trading volume lower than weekly average, reducing short-term momentum strength.
Company Negative News ❌
- Quarterly profit variation (-44.9%) highlights earnings volatility.
- Decline in FII holdings (-1.85%) reflects reduced foreign investor confidence.
Company Positive News 🌟
- Strong PAT recovery compared to previous quarter.
- DII support (+2.12%) adds stability.
- EPS of 14.5 ₹ supports earnings strength.
- Strong 52-week performance (+70.7%) highlights investor confidence.
Industry 📈
- Industry P/E at 49.8 is lower, highlighting sector stability compared to VOLTAS’s valuation.
- Consumer durables sector demand remains resilient with seasonal growth drivers.
Conclusion 📝
VOLTAS is moderately attractive for swing trading with stable fundamentals but weak technicals. Optimal entry would be near 1,370–1,380 ₹ support (close to DMA levels). For existing holders, consider exiting around 1,500–1,520 ₹ (near recent highs and resistance), as upside is capped by high valuation and bearish momentum.