HINDZINC - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Swing Trade Rating: 3.2

⚙️ Technical Analysis

Current Price (₹437) is below both 50 DMA (₹447) and 200 DMA (₹457) — shows near-term bearish tone.

RSI (45.4): Neutral zone; not signaling strength, but not weak enough to confirm reversal.

MACD (–3.91): Bearish crossover persists — trend is still down.

Volume: Lower than 1-week average — suggests subdued market interest or lack of conviction.

📈 Fundamental Signals

Valuation

P/E (18.0) vs Industry PE (34.8): Appears undervalued, but not enough to outweigh other concerns.

PEG Ratio (6.30): Suggests limited earnings growth — expensive relative to future potential.

Efficiency Ratios

ROCE (61.1%) and ROE (73.0%) are stellar — impressive operational quality.

Dividend Yield (6.63%): Generous — attractive for income-seeking investors.

Debt to Equity (0.82): High relative to peers; may restrict flexibility for growth.

💹 Earnings & Ownership Flow

Quarterly Profit Decline (–4.73%): Indicates stagnation or cyclical slowdown.

FII Holding (–0.07%): Slight drop — mildly negative signal.

DII Holding (+0.67%): Domestic confidence inching up — stabilizing support.

🎯 Swing Trade Strategy

📥 Entry Recommendation: Look for a price pullback closer to ₹420–₹425, near historical support, if RSI moves above 50 and MACD starts flattening.

📤 Exit Plan if Holding: Aim to exit near ₹455–₹460. If price struggles around 200 DMA or RSI reaches 60 without MACD support, it's time to consider booking profits.

🧠 Final Take

HINDZINC has phenomenal return ratios and a healthy dividend, but current technicals and valuation caution against aggressive swing trading. Ideal for a short-term hold only if conditions improve in volume and MACD direction.

Want to uncover better setups in the metals space or review a peer like NMDC or Vedanta for contrast?

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