HOMEFIRST - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 4.0
| Stock Code | HOMEFIRST | Market Cap | 12,445 Cr. | Current Price | 1,186 ₹ | High / Low | 1,519 ₹ |
| Stock P/E | 25.1 | Book Value | 386 ₹ | Dividend Yield | 0.31 % | ROCE | 11.4 % |
| ROE | 16.5 % | Face Value | 2.00 ₹ | DMA 50 | 1,134 ₹ | DMA 200 | 1,167 ₹ |
| Chg in FII Hold | 0.83 % | Chg in DII Hold | -1.23 % | PAT Qtr | 140 Cr. | PAT Prev Qtr | 132 Cr. |
| RSI | 57.4 | MACD | 17.2 | Volume | 1,57,771 | Avg Vol 1Wk | 3,45,210 |
| Low price | 839 ₹ | High price | 1,519 ₹ | PEG Ratio | 0.93 | Debt to equity | 2.40 |
| 52w Index | 51.0 % | Qtr Profit Var | 44.0 % | EPS | 49.4 ₹ | Industry PE | 16.4 |
📊 HomeFirst (HOMEFIRST) shows strong earnings growth and reasonable valuation compared to peers, though high leverage and reduced domestic institutional support pose risks. The RSI at 57.4 indicates neutral-to-positive momentum, while MACD (17.2) signals bullish sentiment. The optimal entry price would be around ₹1,160–₹1,175, near the DMA support zone. If already holding, consider exiting around ₹1,280–₹1,300, close to the resistance level.
✅ Positive
- Quarterly PAT growth from ₹132 Cr. to ₹140 Cr. (+44%) shows strong earnings momentum.
- EPS of ₹49.4 supports profitability visibility.
- PEG ratio of 0.93 indicates attractive valuation relative to growth.
- FII holdings increased (+0.83%), showing foreign investor confidence.
- Stock trading above DMA 50 and DMA 200 indicates technical strength.
⚠️ Limitation
- Debt-to-equity ratio of 2.40 is high, reflecting significant leverage.
- Dividend yield of 0.31% is negligible.
- ROCE (11.4%) and ROE (16.5%) are moderate compared to peers.
- Trading volume lower than weekly average suggests reduced participation.
📉 Company Negative News
- DII holdings decreased (-1.23%), showing reduced domestic institutional support.
- High leverage may limit financial flexibility and increase risk.
📈 Company Positive News
- Strong quarterly profit growth supports investor confidence.
- FII inflows highlight foreign investor optimism.
- MACD indicates bullish momentum in the short term.
🏭 Industry
- Housing finance industry benefits from rising demand for affordable housing.
- Industry PE at 16.4 highlights HomeFirst’s premium valuation (P/E 25.1).
- Sector outlook remains positive with government support for housing initiatives.
🔎 Conclusion
HomeFirst is a fundamentally decent company with strong profit growth and attractive PEG ratio, but high debt levels and modest returns limit upside potential. For swing trading, entry near ₹1,160–₹1,175 is favorable, with an exit target around ₹1,280–₹1,300. Strong fundamentals and sector demand make it a reasonable candidate for swing trades, though traders should remain cautious about leverage and institutional sentiment.