MAHABANK - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.7
| Stock Code | MAHABANK | Market Cap | 48,187 Cr. | Current Price | 62.6 ₹ | High / Low | 77.0 ₹ |
| Stock P/E | 7.42 | Book Value | 43.3 ₹ | Dividend Yield | 2.39 % | ROCE | 5.78 % |
| ROE | 22.9 % | Face Value | 10.0 ₹ | DMA 50 | 65.8 ₹ | DMA 200 | 60.2 ₹ |
| Chg in FII Hold | 2.57 % | Chg in DII Hold | 3.44 % | PAT Qtr | 1,779 Cr. | PAT Prev Qtr | 1,633 Cr. |
| RSI | 40.5 | MACD | -0.96 | Volume | 1,90,33,497 | Avg Vol 1Wk | 1,89,04,916 |
| Low price | 38.1 ₹ | High price | 77.0 ₹ | PEG Ratio | 0.11 | Debt to equity | 10.6 |
| 52w Index | 63.1 % | Qtr Profit Var | 26.5 % | EPS | 8.45 ₹ | Industry PE | 7.34 |
📊 The stock MAHABANK shows good potential for swing trading. Current price (₹62.6) is below 50 DMA (₹65.8) but above 200 DMA (₹60.2), indicating mixed momentum with long-term support intact. RSI at 40.5 suggests the stock is approaching oversold territory, while MACD is slightly negative (-0.96), showing consolidation. Valuation is attractive with P/E of 7.42 compared to industry average of 7.34, and PEG ratio of 0.11 highlights undervaluation relative to growth. Fundamentals remain strong with quarterly PAT improvement and high dividend yield (2.39%). Volume is stable, showing consistent participation.
💡 Optimal Entry Price: Around ₹61–63 if RSI dips closer to 38 and price stabilizes.
📉 Exit Strategy (if already holding): Consider exiting near ₹68–70 resistance zone unless strong breakout occurs.
✅ Positive
- Quarterly PAT improved from ₹1,633 Cr. to ₹1,779 Cr. (+26.5%).
- EPS of ₹8.45 reflects strong earnings base.
- Dividend yield of 2.39% provides attractive investor return.
- FII holding increased (+2.57%) and DII holding increased (+3.44%), showing strong institutional support.
⚠️ Limitation
- Price trading below 50 DMA shows weak short-term momentum.
- ROCE (5.78%) is modest compared to peers.
- High debt-to-equity ratio (10.6), typical for banks but adds leverage risk.
📉 Company Negative News
- Short-term technical indicators remain weak (MACD negative, RSI near oversold).
📈 Company Positive News
- Quarterly profit variance (+26.5%) indicates strong earnings growth.
- Institutional support strengthened with both FII and DII holdings increasing.
🏭 Industry
- Industry P/E at 7.34 shows sector trades at similar valuations.
- Banking sector remains cyclical but supported by strong credit demand outlook.
🔎 Conclusion
MAHABANK is fundamentally strong with attractive valuation, strong institutional support, and improving profitability. Entry near ₹61–63 may be considered for swing trading, but exit near ₹68–70 is advisable unless momentum strengthens further. Oversold RSI and strong fundamentals favor a potential rebound opportunity.