HINDUNILVR - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.8
| Stock Code | HINDUNILVR | Market Cap | 5,56,994 Cr. | Current Price | 2,371 ₹ | High / Low | 2,660 ₹ |
| Stock P/E | 53.0 | Book Value | 208 ₹ | Dividend Yield | 1.81 % | ROCE | 27.6 % |
| ROE | 20.6 % | Face Value | 1.00 ₹ | DMA 50 | 2,359 ₹ | DMA 200 | 2,356 ₹ |
| Chg in FII Hold | -0.08 % | Chg in DII Hold | 0.06 % | PAT Qtr | 2,551 Cr. | PAT Prev Qtr | 2,839 Cr. |
| RSI | 51.5 | MACD | 5.92 | Volume | 12,78,762 | Avg Vol 1Wk | 14,70,332 |
| Low price | 2,044 ₹ | High price | 2,660 ₹ | PEG Ratio | 9.98 | Debt to equity | 0.03 |
| 52w Index | 53.1 % | Qtr Profit Var | -2.79 % | EPS | 46.5 ₹ | Industry PE | 46.9 |
📊 Hindustan Unilever (HINDUNILVR) has strong fundamentals and sector leadership, but its high valuation and recent profit decline limit short-term upside. The RSI at 51.5 indicates neutral momentum, while MACD (5.92) shows mild bullishness. The optimal entry price would be around ₹2,340–₹2,360, near the DMA support zone. If already holding, consider exiting around ₹2,600–₹2,630, close to the resistance near the recent high.
✅ Positive
- Strong ROCE (27.6%) and ROE (20.6%) reflect efficient capital usage and profitability.
- Debt-to-equity ratio of 0.03 indicates excellent financial stability.
- Dividend yield of 1.81% provides steady income.
- EPS of ₹46.5 supports earnings visibility.
- Stock trading above DMA 50 and DMA 200 shows long-term strength.
⚠️ Limitation
- High P/E (53.0) compared to industry PE (46.9) suggests overvaluation.
- PEG ratio of 9.98 indicates limited growth relative to valuation.
- Quarterly PAT declined from ₹2,839 Cr. to ₹2,551 Cr. (-2.79%), showing earnings pressure.
- Trading volume lower than weekly average suggests reduced participation.
📉 Company Negative News
- Decline in FII holdings (-0.08%) shows reduced foreign investor confidence.
- Quarterly profit decline highlights short-term challenges.
📈 Company Positive News
- DII holdings increased slightly (+0.06%), showing domestic institutional support.
- Strong fundamentals with low debt and consistent dividend payout.
- MACD indicates mild bullish momentum in the short term.
🏭 Industry
- FMCG sector remains resilient with steady demand across consumer categories.
- Industry PE at 46.9 highlights sector-wide premium valuations.
- Sector outlook remains positive with long-term consumption growth in India.
🔎 Conclusion
HINDUNILVR is a fundamentally strong company with sector leadership, low debt, and consistent dividends. However, high valuation and recent profit decline limit short-term upside. For swing trading, entry near ₹2,340–₹2,360 is favorable, with an exit target around ₹2,600–₹2,630. Strong fundamentals make it a reasonable candidate for swing trades, but traders should remain cautious due to valuation risks and earnings pressure.