HUDCO - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.8
| Stock Code | HUDCO | Market Cap | 39,492 Cr. | Current Price | 197 ₹ | High / Low | 254 ₹ |
| Stock P/E | 14.2 | Book Value | 90.1 ₹ | Dividend Yield | 2.11 % | ROCE | 9.62 % |
| ROE | 15.7 % | Face Value | 10.0 ₹ | DMA 50 | 213 ₹ | DMA 200 | 220 ₹ |
| Chg in FII Hold | 0.03 % | Chg in DII Hold | 0.54 % | PAT Qtr | 713 Cr. | PAT Prev Qtr | 710 Cr. |
| RSI | 41.3 | MACD | -7.26 | Volume | 60,37,707 | Avg Vol 1Wk | 83,24,002 |
| Low price | 159 ₹ | High price | 254 ₹ | PEG Ratio | 0.86 | Debt to equity | 7.03 |
| 52w Index | 40.4 % | Qtr Profit Var | -3.00 % | EPS | 13.9 ₹ | Industry PE | 19.7 |
📊 HUDCO shows reasonable valuation and stable earnings, but high leverage and weak technical indicators limit short-term upside. The RSI at 41.3 suggests the stock is approaching oversold territory, while MACD (-7.26) indicates bearish momentum. The optimal entry price would be around ₹190–₹195, near the support zone. If already holding, consider exiting around ₹215–₹220, close to the 200 DMA resistance level.
✅ Positive
- Low P/E (14.2) compared to industry PE (19.7) indicates undervaluation.
- Dividend yield of 2.11% provides steady income.
- EPS of ₹13.9 supports earnings visibility.
- FII holdings increased slightly (+0.03%), showing foreign investor stability.
- DII holdings increased (+0.54%), reflecting domestic institutional support.
- PEG ratio of 0.86 suggests attractive valuation relative to growth.
⚠️ Limitation
- Debt-to-equity ratio of 7.03 is very high, indicating significant leverage risk.
- ROCE (9.62%) and ROE (15.7%) are moderate compared to peers.
- MACD (-7.26) signals weak short-term momentum.
- Quarterly PAT declined slightly (-3%), showing earnings pressure.
- Trading volume lower than weekly average suggests reduced participation.
📉 Company Negative News
- High leverage may limit financial flexibility and increase risk exposure.
- Quarterly profit decline highlights short-term challenges.
📈 Company Positive News
- Stable earnings with consistent PAT performance.
- Dividend yield provides investor confidence.
- Stock trading near support levels offers swing trade opportunity.
🏭 Industry
- Housing and infrastructure finance sector benefits from government initiatives and urban development projects.
- Industry PE at 19.7 highlights HUDCO’s discounted valuation (P/E 14.2).
- Sector outlook remains positive with long-term demand for housing finance.
🔎 Conclusion
HUDCO is a fundamentally stable company with attractive valuation and dividend yield, but high debt levels and weak technical indicators limit short-term upside. For swing trading, entry near ₹190–₹195 is favorable, with an exit target around ₹215–₹220. While fundamentals support long-term confidence, traders should remain cautious due to leverage risks and momentum weakness.