MOTILALOFS - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 2.8
| Stock Code | MOTILALOFS | Market Cap | 40,411 Cr. | Current Price | 671 ₹ | High / Low | 1,097 ₹ |
| Stock P/E | 42.0 | Book Value | 134 ₹ | Dividend Yield | 0.89 % | ROCE | 17.8 % |
| ROE | 21.4 % | Face Value | 1.00 ₹ | DMA 50 | 760 ₹ | DMA 200 | 826 ₹ |
| Chg in FII Hold | -0.59 % | Chg in DII Hold | 0.58 % | PAT Qtr | 245 Cr. | PAT Prev Qtr | 194 Cr. |
| RSI | 35.6 | MACD | -26.2 | Volume | 6,91,058 | Avg Vol 1Wk | 9,59,049 |
| Low price | 488 ₹ | High price | 1,097 ₹ | PEG Ratio | 1.66 | Debt to equity | 1.16 |
| 52w Index | 30.1 % | Qtr Profit Var | -15.3 % | EPS | 16.0 ₹ | Industry PE | 17.0 |
Analysis: MOTILALOFS trades at 671 ₹, below both its 50 DMA (760 ₹) and 200 DMA (826 ₹), indicating bearish momentum. RSI at 35.6 suggests the stock is approaching oversold territory, but MACD (-26.2) confirms strong negative momentum. The P/E of 42.0 is significantly higher than the industry average (17.0), pointing to overvaluation. Debt-to-equity ratio of 1.16 adds financial risk. Despite strong fundamentals like ROE (21.4%) and EPS (16.0 ₹), short-term technicals make this a weak swing trade candidate.
Optimal Entry Price: Around 620–640 ₹, closer to support levels and above the 52-week low of 488 ₹.
Exit Strategy (if already holding): Consider exiting near 760–780 ₹ (50 DMA resistance zone) if recovery occurs. Place a stop-loss below 600 ₹ to limit downside risk.
✅ Positive
- Strong ROE (21.4%) and ROCE (17.8%) show efficient capital use.
- EPS of 16.0 ₹ indicates solid earnings power.
- PEG ratio of 1.66 suggests moderate growth potential relative to valuation.
⚠️ Limitation
- High P/E (42.0 vs industry 17.0) signals overvaluation.
- Debt-to-equity ratio of 1.16 increases financial risk.
- Technical indicators (MACD negative, RSI weak) show bearish sentiment.
📉 Company Negative News
- Quarterly profit variation (-15.3%) indicates declining momentum.
- FII holdings decreased (-0.59%), showing reduced foreign confidence.
📈 Company Positive News
- DII holdings increased (+0.58%), reflecting domestic institutional support.
- PAT improved from 194 Cr. to 245 Cr. quarter-on-quarter.
🏭 Industry
- Industry P/E is 17.0, making MOTILALOFS relatively expensive.
- Financial services sector is cyclical, influenced by market sentiment and liquidity trends.
🔎 Conclusion
MOTILALOFS has strong fundamentals but is technically weak for swing trading. Overvaluation and high debt levels limit upside potential. A safer entry is near 620–640 ₹, with exit around 760–780 ₹ if holding. Best suited for long-term investors rather than short-term swing traders.