ZFCVINDIA - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Swing Trade Rating: 4.1

📊 Analysis Summary

ZF Commercial Vehicle Control Systems India Ltd (ZFCVINDIA) presents a technically strong and fundamentally solid swing trade setup, especially for traders seeking stability and low-risk entries. While the stock is consolidating near key moving averages, its momentum indicators and financial health suggest a potential breakout.

✅ Positives

Technical Indicators

MACD: +34.8 — strong bullish crossover.

RSI: 49.8 — neutral zone, poised for upward move.

Price near DMA 50 (₹13,168) and DMA 200 (₹13,078) — forming a base.

Fundamentals

ROCE: 20.3% & ROE: 15.4% — strong operational efficiency.

EPS: ₹243 — robust earnings base.

Debt to Equity: 0.02 — virtually debt-free.

Valuation & Growth

PEG Ratio: 1.03 — fairly valued relative to growth.

PAT Qtr: ₹127 Cr. vs ₹125 Cr. — consistent performance.

Qtr Profit Var: +26.5% — solid growth.

Institutional Interest

FII Holding ↑ 0.16%

DII Holding ↑ 3.04% — strong domestic support.

⚠️ Concerns

Valuation

P/E: 54.5 vs Industry PE: 31.2 — premium pricing.

Book Value: ₹1,695 vs CMP ₹13,251 — high market premium.

Volume Weakness

Current volume (3,687) < Avg volume (14,661) — low liquidity may affect trade execution.

52W Index: 45.1%

Mid-range performance — not near breakout highs.

🎯 Optimal Entry Price

Entry Zone: ₹13,100–₹13,250

Near DMA support — low-risk entry with upside potential.

Confirmation Needed

RSI > 52 and volume pickup for breakout confirmation.

🚪 Exit Strategy (If Already Holding)

Exit Target: ₹14,200–₹14,500

Short-term resistance zone — ideal for profit booking.

Stop Loss: ₹12,850

Below DMA 200 — protects against downside reversal.

Would you like to explore other auto component or industrial stocks with stronger volume and breakout setups for short-term trades?

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