⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.

FIVESTAR - Swing Trade Analysis with AI Signals

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Rating: 3.2

Last Updated Time : 05 Feb 26, 02:16 am

Swing Trade Rating: 3.2

Stock Code FIVESTAR Market Cap 13,554 Cr. Current Price 460 ₹ High / Low 850 ₹
Stock P/E 12.2 Book Value 231 ₹ Dividend Yield 0.43 % ROCE 16.3 %
ROE 18.6 % Face Value 1.00 ₹ DMA 50 526 ₹ DMA 200 599 ₹
Chg in FII Hold -2.85 % Chg in DII Hold 2.58 % PAT Qtr 277 Cr. PAT Prev Qtr 286 Cr.
RSI 34.4 MACD -25.4 Volume 12,71,331 Avg Vol 1Wk 40,89,739
Low price 420 ₹ High price 850 ₹ PEG Ratio 0.37 Debt to equity 1.23
52w Index 9.19 % Qtr Profit Var 1.16 % EPS 37.6 ₹ Industry PE 18.9

📊 FIVESTAR shows moderate potential for swing trading. The fundamentals are decent with ROCE (16.3%) and ROE (18.6%), supported by EPS (37.6 ₹). The P/E ratio (12.2) is lower than the industry average (18.9), suggesting undervaluation. However, the stock is trading below both 50 DMA (526 ₹) and 200 DMA (599 ₹), indicating short-term weakness. RSI at 34.4 shows oversold conditions, while MACD (-25.4) confirms bearish momentum. Institutional activity is mixed, with FII holdings down but DII holdings up. Despite strong fundamentals, technical weakness limits swing trade potential.

💡 Optimal Entry Price: Around 440–455 ₹ (near support zone).

🚪 Exit Strategy: If already holding, consider exiting near 500–520 ₹ (resistance zone below 50 DMA) unless momentum improves.

✅ Positive

  • Strong ROE (18.6%) and ROCE (16.3%) indicate efficient capital use.
  • P/E ratio (12.2) lower than industry PE (18.9), suggesting undervaluation.
  • EPS of 37.6 ₹ highlights profitability.
  • DII holdings increased (+2.58%), showing domestic institutional support.
  • PEG ratio of 0.37 suggests fair valuation relative to growth.

⚠️ Limitation

  • Stock trading below both 50 DMA and 200 DMA.
  • RSI at 34.4 and MACD negative (-25.4), indicating weak momentum.
  • Debt-to-equity ratio of 1.23 is relatively high.
  • Volume lower than weekly average, showing reduced trading activity.

📉 Company Negative News

  • FII holdings decreased (-2.85%), showing reduced foreign investor confidence.
  • Sequential PAT decline from 286 Cr. to 277 Cr.

📈 Company Positive News

  • EPS of 37.6 ₹ reflects strong profitability.
  • DII holdings increased significantly (+2.58%), showing domestic support.
  • P/E ratio lower than industry average, suggesting undervaluation.

🏭 Industry

  • Industry PE at 18.9, higher than company’s PE (12.2), suggesting undervaluation.
  • Financial services sector outlook remains steady with growing demand for credit.

🔎 Conclusion

FIVESTAR is fundamentally strong and undervalued compared to peers, but technical weakness limits short-term swing trade potential. Entry around 440–455 ₹ offers a safer position, with exit near 500–520 ₹. Traders should monitor momentum indicators closely before aggressive entry, as debt levels and weak technicals pose risks.

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