⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.

MAXHEALTH - Swing Trade Analysis with AI Signals

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Rating: 3.4

Last Updated Time : 05 May 26, 03:53 pm

📊 Swing Trade Rating: 3.4

Stock Code MAXHEALTH Market Cap 98,428 Cr. Current Price 1,012 ₹ High / Low 1,314 ₹
Stock P/E 140 Book Value 87.3 ₹ Dividend Yield 0.15 % ROCE 12.5 %
ROE 9.45 % Face Value 10.0 ₹ DMA 50 1,004 ₹ DMA 200 1,062 ₹
Chg in FII Hold -5.16 % Chg in DII Hold 5.12 % PAT Qtr 200 Cr. PAT Prev Qtr 160 Cr.
RSI 56.1 MACD 4.36 Volume 26,94,459 Avg Vol 1Wk 20,30,639
Low price 903 ₹ High price 1,314 ₹ PEG Ratio 4.43 Debt to equity 0.08
52w Index 26.4 % Qtr Profit Var 5.45 % EPS 7.10 ₹ Industry PE 48.2

Analysis: Max Healthcare is trading at 1,012 ₹, near its 50 DMA (1,004 ₹) but below its 200 DMA (1,062 ₹), showing short-term support but medium-term resistance. RSI at 56.1 and MACD at 4.36 indicate mild bullish momentum. The stock is far below its 52-week high of 1,314 ₹, leaving room for recovery. Valuation is stretched with a P/E of 140 compared to the industry average of 48.2, while ROCE (12.5%) and ROE (9.45%) remain modest. Quarterly PAT growth (200 Cr vs 160 Cr) and EPS at 7.10 ₹ show improvement, but the PEG ratio of 4.43 suggests poor valuation relative to growth. Institutional activity is mixed, with FIIs reducing holdings (-5.16%) while DIIs increased (+5.12%), balancing sentiment. Debt levels are low (0.08), providing financial stability.

Optimal Entry Price: Around 990–1,000 ₹ (near 50 DMA support zone).

Exit Strategy: If already holding, consider exiting near 1,060–1,080 ₹ (DMA 200 resistance zone) or if RSI approaches 65–70. A stop-loss can be placed around 970 ₹ to manage downside risk.

✅ Positive

  • Quarterly PAT growth (200 Cr vs 160 Cr).
  • EPS at 7.10 ₹, reflecting earnings improvement.
  • DII holdings increased (+5.12%), showing strong domestic institutional support.
  • Debt-to-equity ratio at 0.08, indicating low leverage.

⚠️ Limitation

  • High P/E ratio (140) compared to industry average.
  • PEG ratio at 4.43, suggesting poor valuation relative to growth.
  • ROCE (12.5%) and ROE (9.45%) remain modest.
  • Stock trading below 200 DMA, showing medium-term weakness.

📉 Company Negative News

  • FII holdings decreased significantly (-5.16%).
  • Stock trading far below 52-week high (1,314 ₹).

📈 Company Positive News

  • Quarterly profit growth of 5.45% variation.
  • DII holdings increased (+5.12%), boosting sentiment.
  • Volume higher than weekly average, showing short-term interest.

🏭 Industry

  • Industry P/E at 48.2, much lower than Max Healthcare, highlighting overvaluation.
  • Healthcare sector remains resilient with steady demand and long-term growth prospects.

🔎 Conclusion

Max Healthcare is a moderately suitable candidate for swing trading, supported by earnings growth and strong DII support. Entry near 990–1,000 ₹ is optimal, with exit around 1,060–1,080 ₹. Risk management is essential due to stretched valuations, reduced FII confidence, and resistance at the 200 DMA.

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