⚠ 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.

HINDALCO - Swing Trade Analysis with AI Signals

Back to List

Rating: 3.5

Last Updated Time : 05 May 26, 03:34 pm

Swing Trade Rating: 3.5

Stock Code HINDALCO Market Cap 2,34,476 Cr. Current Price 1,043 ₹ High / Low 1,080 ₹
Stock P/E 26.9 Book Value 326 ₹ Dividend Yield 0.48 % ROCE 12.9 %
ROE 8.98 % Face Value 1.00 ₹ DMA 50 972 ₹ DMA 200 860 ₹
Chg in FII Hold 1.80 % Chg in DII Hold -1.82 % PAT Qtr 3,017 Cr. PAT Prev Qtr 2,266 Cr.
RSI 61.0 MACD 32.8 Volume 34,32,608 Avg Vol 1Wk 49,54,246
Low price 602 ₹ High price 1,080 ₹ PEG Ratio 11.2 Debt to equity 0.18
52w Index 92.2 % Qtr Profit Var 106 % EPS 38.7 ₹ Industry PE 20.4

📊 Hindalco shows improving profitability with a strong quarterly PAT jump and decent institutional interest. However, the PEG ratio of 11.2 and relatively modest ROCE/ROE suggest valuation concerns. The RSI at 61.0 indicates neutral momentum, leaving room for upside but not yet in overbought territory. Optimal entry would be near the 50 DMA (₹970–985). If already holding, consider exiting around ₹1,075–1,080, which is near the recent high and resistance zone.

✅ Positive

  • Quarterly PAT surged from ₹2,266 Cr. to ₹3,017 Cr. (106% variation).
  • EPS at ₹38.7 shows strong earnings power.
  • FII holdings increased by 1.80%, reflecting foreign investor confidence.
  • Debt-to-equity ratio at 0.18 indicates low leverage risk.

⚠️ Limitation

  • ROCE (12.9%) and ROE (8.98%) are relatively modest compared to peers.
  • PEG ratio of 11.2 suggests expensive valuation relative to growth.
  • Trading volume is below weekly average, indicating reduced momentum.

📉 Company Negative News

  • DII holdings decreased by 1.82%, showing reduced domestic institutional confidence.

📈 Company Positive News

  • Strong quarterly profit growth highlights operational efficiency.
  • FII inflows suggest global investors are optimistic about Hindalco.

🏭 Industry

  • Industry P/E is 20.4, lower than Hindalco’s 26.9, indicating relative overvaluation.
  • Sector momentum remains strong with a 52-week index at 92.2%.

📝 Conclusion

Hindalco is a fundamentally stable company with strong recent earnings growth, but valuations appear stretched. Swing traders should look for entry near ₹970–985. If already holding, exit near ₹1,075–1,080 to capture gains before potential consolidation.

NIFTY 50 - Swing Trading Stock Watchlist

NEXT 50 - Swing Trading Stock Watchlist

MIDCAP - Swing Trading Stock Watchlist

SMALLCAP - Swing Trading Stock Watchlist