ZYDUSLIFE - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.7
| Stock Code | ZYDUSLIFE | Market Cap | 90,823 Cr. | Current Price | 902 ₹ | High / Low | 1,059 ₹ |
| Stock P/E | 19.3 | Book Value | 215 ₹ | Dividend Yield | 1.22 % | ROCE | 30.6 % |
| ROE | 31.1 % | Face Value | 1.00 ₹ | DMA 50 | 909 ₹ | DMA 200 | 928 ₹ |
| Chg in FII Hold | -0.11 % | Chg in DII Hold | 0.12 % | PAT Qtr | 343 Cr. | PAT Prev Qtr | 1,157 Cr. |
| RSI | 46.9 | MACD | 3.09 | Volume | 3,98,116 | Avg Vol 1Wk | 8,97,066 |
| Low price | 836 ₹ | High price | 1,059 ₹ | PEG Ratio | 0.26 | Debt to equity | 0.35 |
| 52w Index | 29.9 % | Qtr Profit Var | -27.2 % | EPS | 46.2 ₹ | Industry PE | 30.2 |
ZYDUSLIFE shows fair potential for swing trading. The RSI (46.9) indicates neutral momentum, while MACD (3.09) suggests mild bullishness. The stock is trading close to its 50 DMA (909 ₹) and 200 DMA (928 ₹), reflecting consolidation. Fundamentals are strong with ROCE (30.6%) and ROE (31.1%), but quarterly PAT declined sharply (343 Cr. vs 1,157 Cr.). Valuation is attractive (P/E 19.3 vs industry 30.2), and PEG ratio (0.26) suggests undervaluation relative to growth. Debt-to-equity ratio (0.35) is manageable, and dividend yield is decent at 1.22%.
✅ Entry Price: Best entry zone is around 880–900 ₹, near support.
📤 Exit Strategy: If already holding, aim to exit near 950–970 ₹ resistance, or cut losses if price falls below 860 ₹.
🌟 Positive
- Strong ROCE (30.6%) and ROE (31.1%), showing excellent efficiency.
- Attractive valuation with P/E at 19.3 vs industry 30.2.
- PEG ratio of 0.26 indicates undervaluation relative to growth.
- Dividend yield of 1.22% adds investor appeal.
⚠️ Limitation
- Quarterly PAT declined (-27.2%), showing earnings weakness.
- Stock trading below 200 DMA (928 ₹), indicating long-term weakness.
- Volume lower than weekly average, reflecting reduced investor activity.
📰 Company Negative News
- Sharp decline in quarterly profits raises concerns about sustainability.
- Slight reduction in FII holdings (-0.11%) shows reduced foreign confidence.
📈 Company Positive News
- Strong fundamentals with high ROCE and ROE.
- DII holdings increased (+0.12%), reflecting domestic support.
- Stock delivered 29.9% return over the past 52 weeks.
🏭 Industry
- Industry P/E at 30.2 indicates moderate valuation.
- ZYDUSLIFE trades below industry average, suggesting fair pricing.
🔎 Conclusion
ZYDUSLIFE is a fundamentally strong company with attractive valuation and efficiency ratios. However, declining quarterly profits and weak long-term technicals limit upside potential. Entry near 880–900 ₹ offers a favorable risk-reward, while exit near 950–970 ₹ captures short-term gains. Caution is advised due to subdued momentum and reduced foreign investor interest.