HOMEFIRST - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 4.0
| Stock Code | HOMEFIRST | Market Cap | 11,955 Cr. | Current Price | 1,146 ₹ | High / Low | 1,519 ₹ |
| Stock P/E | 22.1 | Book Value | 418 ₹ | Dividend Yield | 0.45 % | ROCE | 11.1 % |
| ROE | 15.7 % | Face Value | 2.00 ₹ | DMA 50 | 1,095 ₹ | DMA 200 | 1,123 ₹ |
| Chg in FII Hold | 4.90 % | Chg in DII Hold | -0.09 % | PAT Qtr | 149 Cr. | PAT Prev Qtr | 140 Cr. |
| RSI | 59.4 | MACD | 7.17 | Volume | 2,51,171 | Avg Vol 1Wk | 3,20,763 |
| Low price | 894 ₹ | High price | 1,519 ₹ | PEG Ratio | 0.66 | Debt to equity | 2.43 |
| 52w Index | 40.4 % | Qtr Profit Var | 42.8 % | EPS | 51.8 ₹ | Industry PE | 15.5 |
HOMEFIRST shows good potential for swing trading. The RSI at 59.4 indicates healthy momentum, while MACD (7.17) reflects bullish sentiment. The stock is trading above its 50 DMA (1,095 ₹) and 200 DMA (1,123 ₹), suggesting near-term strength. Fundamentals are decent with ROE (15.7%) and EPS (51.8 ₹), though high debt-to-equity (2.43) raises caution. Valuation remains fair with a P/E of 22.1 compared to industry PE of 15.5, supported by a PEG ratio of 0.66.
💡 Optimal Entry Price: Around 1,120–1,140 ₹, closer to support levels near 1,095 ₹.
📈 Exit Strategy (if already holding): Consider booking profits near 1,180–1,200 ₹, or trail stop-loss if momentum strengthens toward 1,250 ₹.
🌟 Positive
- Strong EPS of 51.8 ₹ supports valuation strength.
- PEG ratio of 0.66 indicates undervaluation relative to growth.
- Quarterly PAT growth from 140 Cr. to 149 Cr. (+42.8%).
- FII holdings increased (+4.90%), showing strong foreign investor confidence.
⚠️ Limitation
- High Debt-to-Equity ratio of 2.43 raises leverage concerns.
- Dividend yield of 0.45% is negligible.
- P/E of 22.1 vs industry PE of 15.5 suggests mild overvaluation.
- Volume (2.5 lakh) is lower than 1-week average (3.2 lakh), showing reduced participation.
📰 Company Negative News
- High leverage may limit flexibility in volatile market conditions.
- Domestic institutional holdings decreased (-0.09%), showing reduced local support.
📈 Company Positive News
- Quarterly PAT growth highlights earnings resilience.
- EPS of 51.8 ₹ supports valuation strength.
- Strong FII inflows (+4.90%) reflect investor confidence.
🏭 Industry
- Industry PE at 15.5 vs HOMEFIRST’s 22.1 shows mild overvaluation.
- Housing finance industry benefits from rising demand for affordable housing, though interest rate cycles and credit risks remain challenges.
🔎 Conclusion
HOMEFIRST is fundamentally decent with strong foreign investor support and undervaluation relative to growth. For swing trading, entry near 1,120–1,140 ₹ is favorable, with exit around 1,180–1,200 ₹. Traders should remain cautious due to high debt levels and reduced domestic support, while momentum indicators suggest near-term strength.
Would you like me to also compare HOMEFIRST’s swing trade outlook with peers like LIC Housing Finance, Can Fin Homes, or PNB Housing Finance to identify stronger opportunities?