FIVESTAR - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.2
| Stock Code | FIVESTAR | Market Cap | 10,453 Cr. | Current Price | 355 ₹ | High / Low | 850 ₹ |
| Stock P/E | 9.43 | Book Value | 231 ₹ | Dividend Yield | 0.56 % | ROCE | 16.3 % |
| ROE | 18.6 % | Face Value | 1.00 ₹ | DMA 50 | 439 ₹ | DMA 200 | 550 ₹ |
| Chg in FII Hold | -2.85 % | Chg in DII Hold | 2.58 % | PAT Qtr | 277 Cr. | PAT Prev Qtr | 286 Cr. |
| RSI | 29.7 | MACD | -25.9 | Volume | 31,22,895 | Avg Vol 1Wk | 22,59,087 |
| Low price | 343 ₹ | High price | 850 ₹ | PEG Ratio | 0.28 | Debt to equity | 1.23 |
| 52w Index | 2.36 % | Qtr Profit Var | 1.16 % | EPS | 37.6 ₹ | Industry PE | 16.4 |
📊 FIVESTAR shows mixed fundamentals. While ROE (18.6%) and ROCE (16.3%) are strong, the debt-to-equity ratio of 1.23 indicates high leverage. EPS of 37.6 ₹ supports valuation, and the P/E of 9.43 is well below the industry average (16.4), suggesting undervaluation. However, technical indicators are weak (RSI 29.7, MACD -25.9), and the stock is trading below DMA 50 (439 ₹) and DMA 200 (550 ₹). Quarterly PAT declined slightly (277 Cr. vs 286 Cr.), showing earnings pressure. This makes FIVESTAR a cautious swing trade candidate with potential rebound near support.
💡 Optimal Entry Price: Around 350–360 ₹ (close to support zone near 343 ₹).
📉 Exit Strategy (if already holding): Consider booking profits near 430–440 ₹ (DMA 50 resistance) unless momentum strengthens further.
Positive
- Strong ROE (18.6%) and ROCE (16.3%) indicate efficient capital utilization.
- P/E of 9.43 is below industry average, suggesting undervaluation.
- EPS of 37.6 ₹ supports valuation strength.
- DII holdings increased (+2.58%), showing strong domestic institutional support.
Limitation
- Current price (355 ₹) is well below DMA 50 and DMA 200, reflecting technical weakness.
- RSI and MACD indicate bearish momentum.
- Debt-to-equity ratio of 1.23 is relatively high, adding financial risk.
- Quarterly PAT declined slightly, showing earnings pressure.
Company Negative News
- FII holdings decreased significantly (-2.85%), showing reduced foreign investor confidence.
- Stock trading near 52-week low (343 ₹), reflecting bearish sentiment.
Company Positive News
- DII holdings increased (+2.58%), showing strong domestic support.
- EPS remains strong at 37.6 ₹.
- Dividend yield of 0.56% adds modest investor appeal.
Industry
- Industry P/E is 16.4, while company P/E is 9.43, showing undervaluation.
- NBFC sector remains cyclical, influenced by credit demand and interest rate environment.
Conclusion
⚠️ FIVESTAR is a cautious swing trade candidate. Strong ROE and undervaluation support potential upside, but weak technicals and high leverage require careful positioning. Entry near 350–360 ₹ offers favorable risk-reward, with exit targets around 430–440 ₹. A strict stop-loss near 340 ₹ is advisable to manage downside risk.