IFCI - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 2.9
| Stock Code | IFCI | Market Cap | 15,786 Cr. | Current Price | 58.5 ₹ | High / Low | 74.5 ₹ |
| Stock P/E | 305 | Book Value | 6.63 ₹ | Dividend Yield | 0.00 % | ROCE | 8.48 % |
| ROE | 2.94 % | Face Value | 10.0 ₹ | DMA 50 | 57.2 ₹ | DMA 200 | 55.8 ₹ |
| Chg in FII Hold | 0.07 % | Chg in DII Hold | 0.02 % | PAT Qtr | 21.4 Cr. | PAT Prev Qtr | 6.85 Cr. |
| RSI | 52.0 | MACD | 1.10 | Volume | 87,48,952 | Avg Vol 1Wk | 1,61,81,767 |
| Low price | 38.1 ₹ | High price | 74.5 ₹ | PEG Ratio | 10.3 | Debt to equity | 2.01 |
| 52w Index | 56.1 % | Qtr Profit Var | -92.2 % | EPS | 0.19 ₹ | Industry PE | 19.8 |
Analysis: IFCI is trading at ₹58.5, slightly above its 50 DMA (₹57.2) and 200 DMA (₹55.8), showing mild support. RSI at 52.0 indicates neutral momentum, while MACD at 1.10 suggests short-term positive crossover. However, fundamentals are weak: extremely high P/E (305 vs industry 19.8), very low EPS (₹0.19), and poor ROE (2.94%). Debt-to-equity ratio at 2.01 is manageable but still concerning. PAT improved this quarter (₹21.4 Cr vs ₹6.85 Cr), but quarterly profit variation (-92.2%) highlights volatility. Swing trade potential is limited due to valuation risks.
Optimal Entry Price: ₹55–57, near DMA support.
Exit Strategy (if holding): Consider exiting around ₹62–65, unless momentum strengthens significantly.
✅ Positive
- Trading near support levels (DMA 50 & 200).
- MACD positive crossover indicates short-term momentum.
- FII (+0.07%) and DII (+0.02%) holdings increased slightly.
⚠️ Limitation
- Extremely high P/E ratio (305) vs industry average (19.8).
- EPS very low at ₹0.19.
- ROE weak at 2.94%, ROCE only 8.48%.
📉 Company Negative News
- Quarterly profit variation shows steep decline (-92.2%).
- Dividend yield is 0%, reducing investor appeal.
📈 Company Positive News
- PAT improved this quarter (₹21.4 Cr vs ₹6.85 Cr).
- Institutional holdings (FII & DII) increased slightly.
🏭 Industry
- Industry P/E at 19.8, highlighting IFCI’s overvaluation.
- Financial services sector remains volatile but offers speculative opportunities.
🔎 Conclusion
IFCI shows weak fundamentals with extreme overvaluation and low profitability. While short-term momentum indicators are mildly positive, swing trade potential is limited. Entry near ₹55–57 may be considered for speculative trades, with exit around ₹62–65. Long-term investors should avoid due to poor earnings quality and valuation risks.