CANFINHOME - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 4.3
| Stock Code | CANFINHOME | Market Cap | 11,946 Cr. | Current Price | 896 ₹ | High / Low | 972 ₹ |
| Stock P/E | 11.0 | Book Value | 449 ₹ | Dividend Yield | 1.34 % | ROCE | 9.17 % |
| ROE | 19.7 % | Face Value | 2.00 ₹ | DMA 50 | 866 ₹ | DMA 200 | 847 ₹ |
| Chg in FII Hold | 0.13 % | Chg in DII Hold | -0.09 % | PAT Qtr | 346 Cr. | PAT Prev Qtr | 265 Cr. |
| RSI | 58.1 | MACD | 12.2 | Volume | 2,23,743 | Avg Vol 1Wk | 2,23,855 |
| Low price | 692 ₹ | High price | 972 ₹ | PEG Ratio | 0.54 | Debt to equity | 6.40 |
| 52w Index | 73.2 % | Qtr Profit Var | 47.8 % | EPS | 81.5 ₹ | Industry PE | 15.0 |
Analysis: CANFINHOME demonstrates strong earnings momentum with quarterly PAT rising from 265 Cr. to 346 Cr. (47.8% growth). The stock trades at a P/E of 11.0, below the industry average of 15.0, suggesting undervaluation. Technicals show price above both 50 DMA (866 ₹) and 200 DMA (847 ₹), with RSI at 58.1 and positive MACD, indicating bullish sentiment. However, high debt-to-equity (6.40) and modest ROCE (9.17%) remain concerns.
Optimal Entry Price: 860–870 ₹ (near 50 DMA support).
Exit Strategy: If already holding, consider profit booking near 960–970 ₹ resistance, or exit if price falls below 840 ₹ (200 DMA support).
✅ Positive
- Quarterly profit growth of 47.8%.
- EPS of 81.5 ₹ supports valuation strength.
- PEG ratio of 0.54 indicates undervaluation relative to growth.
- Price trading above key moving averages (50 DMA & 200 DMA).
⚠️ Limitation
- High debt-to-equity ratio (6.40).
- ROCE at 9.17% is relatively weak.
- Dividend yield modest at 1.34%.
📉 Company Negative News
- No significant negative news reported, but leverage remains a structural risk.
📈 Company Positive News
- PAT increased significantly from 265 Cr. to 346 Cr.
- FII holdings rose slightly (+0.13%).
🏭 Industry
- Industry PE is 15.0, higher than CANFINHOME’s PE of 11.0, showing undervaluation.
- Housing finance sector benefits from strong demand and government support for affordable housing.
📝 Conclusion
CANFINHOME is a solid swing trade candidate with strong earnings growth and undervaluation compared to peers. Entry near 860–870 ₹ offers favorable risk-reward, while profit booking near 960–970 ₹ is recommended. Investors should remain cautious due to high leverage and modest ROCE.