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HINDUNILVR - Swing Trade Analysis with AI Signals

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Rating: 3.4

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

Swing Trade Rating: 3.4

Stock Code HINDUNILVR Market Cap 5,42,663 Cr. Current Price 2,309 ₹ High / Low 2,660 ₹
Stock P/E 50.0 Book Value 210 ₹ Dividend Yield 1.86 % ROCE 28.1 %
ROE 22.1 % Face Value 1.00 ₹ DMA 50 2,239 ₹ DMA 200 2,302 ₹
Chg in FII Hold -0.61 % Chg in DII Hold 0.65 % PAT Qtr 2,766 Cr. PAT Prev Qtr 2,730 Cr.
RSI 58.0 MACD 37.1 Volume 26,65,824 Avg Vol 1Wk 27,43,454
Low price 2,022 ₹ High price 2,660 ₹ PEG Ratio 18.2 Debt to equity 0.03
52w Index 45.0 % Qtr Profit Var 9.21 % EPS 65.7 ₹ Industry PE 44.1

📊 Hindustan Unilever (HINDUNILVR) is a fundamentally strong company with high ROCE and ROE, low debt, and consistent profitability. However, its high P/E (50.0) and PEG ratio (18.2) suggest expensive valuations. The RSI at 58.0 indicates neutral momentum, making it suitable for swing trading if entered near support. Optimal entry would be around ₹2,230–2,250 (near 50 DMA). If already holding, consider exiting near ₹2,640–2,660, which aligns with resistance levels from the recent high.

✅ Positive

  • Strong ROCE (28.1%) and ROE (22.1%) reflect efficient capital use.
  • Debt-to-equity ratio of 0.03 shows a nearly debt-free balance sheet.
  • EPS of ₹65.7 demonstrates solid earnings power.
  • Dividend yield of 1.86% provides income support.

⚠️ Limitation

  • High P/E (50.0) compared to industry average (44.1), indicating premium valuation.
  • PEG ratio of 18.2 suggests expensive valuation relative to growth.
  • Stock trading close to 200 DMA (₹2,302), showing limited upside momentum.

📉 Company Negative News

  • FII holdings decreased by 0.61%, reflecting reduced foreign investor confidence.

📈 Company Positive News

  • DII holdings increased by 0.65%, showing stronger domestic institutional support.
  • PAT improved slightly from ₹2,730 Cr. to ₹2,766 Cr., showing steady earnings.

🏭 Industry

  • Industry P/E at 44.1 is lower than HINDUNILVR’s 50.0, suggesting relative overvaluation.
  • Sector momentum moderate with a 52-week index at 45.0%.

📝 Conclusion

HINDUNILVR is a fundamentally strong but richly valued stock. Swing traders should look for entry near ₹2,230–2,250. If already holding, exit near ₹2,640–2,660 to capture gains before potential consolidation.

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