CREDITACC - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.8
| Stock Code | CREDITACC | Market Cap | 18,527 Cr. | Current Price | 1,154 ₹ | High / Low | 1,497 ₹ |
| Stock P/E | 38.2 | Book Value | 448 ₹ | Dividend Yield | 0.00 % | ROCE | 9.55 % |
| ROE | 7.86 % | Face Value | 10.0 ₹ | DMA 50 | 1,253 ₹ | DMA 200 | 1,266 ₹ |
| Chg in FII Hold | -0.61 % | Chg in DII Hold | -0.10 % | PAT Qtr | 252 Cr. | PAT Prev Qtr | 126 Cr. |
| RSI | 39.0 | MACD | -31.6 | Volume | 1,24,833 | Avg Vol 1Wk | 2,43,794 |
| Low price | 860 ₹ | High price | 1,497 ₹ | PEG Ratio | 2.62 | Debt to equity | 2.81 |
| 52w Index | 46.1 % | Qtr Profit Var | 353 % | EPS | 30.3 ₹ | Industry PE | 23.3 |
📊 CreditAccess Grameen (CREDITACC) shows weak fundamentals with high debt-to-equity (2.81), low ROCE (9.55%), and low ROE (7.86%). Technical indicators (RSI 39, MACD -31.6, price below 50 & 200 DMA) suggest bearish momentum. Despite strong quarterly profit growth, the overall risk profile makes it a cautious candidate for swing trading.
💡 Optimal Entry Price: Around ₹1,120–1,140, near support levels.
📈 Exit Strategy (if already holding): Consider exiting near ₹1,250–1,270 if recovery occurs, or cut losses if price falls below ₹1,100 decisively.
Positive
- Quarterly PAT surged from ₹126 Cr. to ₹252 Cr. (+353%).
- EPS of ₹30.3 shows earnings growth potential.
- Strong 52-week performance (+46.1%) indicates past momentum.
Limitation
- High debt-to-equity ratio (2.81) raises financial risk.
- Low ROCE (9.55%) and ROE (7.86%) show weak capital efficiency.
- Stock P/E (38.2) is much higher than industry average (23.3), suggesting overvaluation.
- Price trading below both 50 DMA (1,253) and 200 DMA (1,266), confirming bearish trend.
Company Negative News
- FII holdings decreased (-0.61%), showing reduced foreign investor confidence.
- DII holdings also declined (-0.10%), reflecting cautious domestic sentiment.
Company Positive News
- Strong quarterly profit growth signals operational improvement.
- EPS growth supports long-term earnings potential.
Industry
- Industry P/E at 23.3 is lower than CreditAccess Grameen’s, suggesting the stock trades at a premium.
- Microfinance sector remains growth-oriented but highly sensitive to credit cycles and regulatory changes.
Conclusion
⚖️ CreditAccess Grameen is fundamentally weak with high debt and poor efficiency ratios, despite strong profit growth. Swing traders should be cautious, entering near support (~₹1,120–1,140) and exiting near resistance (~₹1,250–1,270). Risk management is critical given the volatility and overvaluation.