WELCORP - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 4.1

📊 WELCORP is a strong swing trade candidate with solid fundamentals and bullish technical indicators. Optimal entry is ₹910–₹925. If already held, consider exiting near ₹980–₹995.

📈 Positive

• MACD (18.8) and RSI (60.6) indicate strong bullish momentum with room for further upside.
• Trading above both 50-DMA (₹877) and 200-DMA (₹837) confirms technical strength.
• ROCE (18.2%) and ROE (13.5%) reflect healthy operational and financial efficiency.
• EPS of ₹47.2 and P/E of 32.4 are attractive relative to industry PE (23.6).
• Quarterly PAT growth from ₹214 Cr. to ₹231 Cr. shows consistent earnings momentum.

⚠️ Limitation

• PEG ratio (12.9) suggests expensive valuation relative to growth.
• Volume below 1-week average may indicate reduced short-term interest.
• Dividend yield (0.54%) is modest for income-focused investors.

🚫 Company Negative News

• FII holdings declined by 0.34%, showing slight foreign investor caution.

✅ Company Positive News

• DII holdings increased by 0.17%, indicating rising domestic institutional confidence.
• Qtr Profit Var of 114% reflects strong earnings acceleration.

🌐 Industry

• WELCORP operates in the steel pipes and infrastructure sector, which benefits from industrial and construction growth.
• Industry P/E of 23.6 reflects moderate valuation expectations.

🧾 Conclusion

• WELCORP is a strong swing trade candidate with bullish technicals and solid earnings growth.
• Optimal entry: ₹910–₹925 (near current price and breakout zone).
• Exit target: ₹980–₹995 (near 52-week high and resistance).
• Watch for volume recovery and RSI crossing 65 for confirmation of momentum continuation.

I can help you chart WELCORP’s MACD and RSI trends to refine your entry and exit timing.