MMTC - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.9
| Stock Code | MMTC | Market Cap | 9,630 Cr. | Current Price | 64.1 ₹ | High / Low | 88.2 ₹ |
| Stock P/E | 233 | Book Value | 10.9 ₹ | Dividend Yield | 0.00 % | ROCE | 8.33 % |
| ROE | 5.69 % | Face Value | 1.00 ₹ | DMA 50 | 64.1 ₹ | DMA 200 | 65.2 ₹ |
| Chg in FII Hold | -0.07 % | Chg in DII Hold | -0.07 % | PAT Qtr | 4.88 Cr. | PAT Prev Qtr | 36.7 Cr. |
| RSI | 48.5 | MACD | 0.33 | Volume | 29,27,405 | Avg Vol 1Wk | 86,69,681 |
| Low price | 42.6 ₹ | High price | 88.2 ₹ | PEG Ratio | 8.05 | Debt to equity | 0.02 |
| 52w Index | 47.2 % | Qtr Profit Var | -56.7 % | EPS | 1.13 ₹ | Industry PE | 32.3 |
📊 MMTC shows weak fundamentals and limited technical strength for swing trading. The stock trades at ₹64.1, almost aligned with its 50 DMA (₹64.1) and slightly below its 200 DMA (₹65.2), indicating lack of momentum. RSI at 48.5 suggests neutral positioning, while MACD at 0.33 shows flat momentum. Valuation is extremely stretched with a P/E of 233 compared to industry average of 32.3, and ROE/ROCE remain weak. Quarterly PAT has declined sharply, reducing investor confidence. Low debt-to-equity (0.02) is a positive, but overall risk-reward is unfavorable.
✅ Optimal Entry Price: Around ₹58–60 (near support zone, better margin of safety).
🚪 Exit Strategy (if already holding): Consider exit near ₹70–72 (resistance zone close to 200 DMA). If price falls below ₹58, apply stop-loss to protect capital.
Positive
- 💰 Very low debt-to-equity ratio (0.02).
- 📊 RSI at 48.5 indicates neutral positioning, not overbought.
- 📈 EPS of ₹1.13 provides minimal earnings support.
Limitation
- ⚠️ Extremely high P/E (233 vs industry 32.3).
- 📉 Weak ROE (5.69%) and ROCE (8.33%).
- 📉 Trading flat around DMA levels, showing no momentum.
- 📉 PEG ratio (8.05) indicates expensive growth.
Company Negative News
- 📉 Sharp decline in quarterly PAT (₹4.88 Cr. vs ₹36.7 Cr.).
- 📉 Institutional selling (FII -0.07%, DII -0.07%).
Company Positive News
- ⚡ Low debt-to-equity ratio supports financial stability.
Industry
- 🏭 Trading sector average PE is 32.3, MMTC trades at a steep premium (233).
- 📊 Sector remains cyclical with limited valuation support.
Conclusion
⚖️ MMTC is a weak candidate for swing trading due to stretched valuation, poor profitability ratios, and declining quarterly performance. Entry near ₹58–60 offers limited risk-reward, while exits should be targeted near ₹70–72. Traders should remain cautious and apply strict stop-loss discipline below ₹58.