MANAPPURAM - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 3.6

📉 Optimal Entry Price: ₹255–₹265 (near support and RSI zone)

📈 Exit Strategy (if holding): ₹290–₹295 (near resistance and brokerage targets)

🔷 Positive

• 📊 Low P/E of 13.8: Undervalued compared to industry average (22.6).
• 💰 Dividend yield of 1.31%: Offers modest income potential.
• 📈 ROE of 16.0%: Indicates decent shareholder returns.
• 📈 Trading above 200 DMA: Suggests long-term support is intact.
• 📈 FII and DII holdings increased: Reflects growing institutional interest.

⚠️ Limitation

• 📉 RSI at 31.9: Near oversold zone, but not yet signaling reversal.
• 📉 MACD at -4.03: Indicates bearish momentum.
• 📉 Quarterly profit dropped 20.9%: From ₹392 Cr. to ₹376 Cr., showing earnings pressure.
• 📉 Debt-to-equity ratio of 2.51: High leverage could pose financial risk.
• 📉 Volume below 1-week average: May signal weakening momentum.

📉 Company Negative News

• 📉 Q2FY26 net profit slumped 62% YoY to ₹217.3 Cr., driven by a sharp fall in net interest income

  CNBCTV18

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• 📉 CLSA downgraded the stock to “Hold” citing margin pressure and rising credit costs

  Zee Business

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• 📉 Analysts flagged asset quality stress in Asirvad Microfinance and regulatory constraints on branch expansion

  Business Today

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📈 Company Positive News

• 📈 Despite weak earnings, the stock is up 76% in 2025, reflecting strong prior momentum

  Business Today

  .

• 📊 Some brokerages maintain a ₹290 target, suggesting limited upside from current levels

  Zee Business

  +1

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🏦 Industry

• 🏛️ Operates in the NBFC sector, which is gaining traction with rising rural credit demand and digital lending.
• 📉 Sector faces regulatory headwinds, especially in microfinance, impacting growth outlook

  ET BFSI

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🧾 Conclusion

• ⚠️ Manappuram is a cautious swing trade candidate with value potential but short-term technical weakness and regulatory overhang.
• 📌 Entry near ₹255–₹265 offers a low-risk setup if support holds and RSI rebounds.
• 🚪 If already holding, consider exiting near ₹290–₹295, aligning with resistance and analyst targets.

Sources

Zee Business

+3

I can also track Manappuram’s RSI and MACD trends to help you time your entry more precisely.