MRF - Swing Trade Analysis with AI Signals
Back to ListHere’s the structured swing trade analysis for MRF (MRF Ltd.) based on the provided parameters
Swing Trade Rating: 3.7
| Stock Code | MRF | Market Cap | 55,146 Cr. | Current Price | 1,30,085 ₹ | High / Low | 1,63,600 ₹ |
| Stock P/E | 23.0 | Book Value | 48,223 ₹ | Dividend Yield | 0.18 % | ROCE | 16.3 % |
| ROE | 12.4 % | Face Value | 10.0 ₹ | DMA 50 | 1,28,948 ₹ | DMA 200 | 1,36,966 ₹ |
| Chg in FII Hold | -0.20 % | Chg in DII Hold | -0.25 % | PAT Qtr | 669 Cr. | PAT Prev Qtr | 736 Cr. |
| RSI | 61.3 | MACD | -184 | Volume | 4,878 | Avg Vol 1Wk | 8,769 |
| Low price | 1,22,000 ₹ | High price | 1,63,600 ₹ | PEG Ratio | 0.44 | Debt to equity | 0.08 |
| 52w Index | 19.4 % | Qtr Profit Var | 34.4 % | EPS | 5,554 ₹ | Industry PE | 22.3 |
📊 MRF is trading at ₹1,30,085, slightly above its 50 DMA (₹1,28,948) but below its 200 DMA (₹1,36,966), showing mixed momentum. RSI at 61.3 indicates neutral-to-positive strength, while MACD (-184) highlights mild bearish undertone. Volumes (4,878) are lower than weekly averages (8,769), suggesting reduced participation. Valuations are fair (P/E 23.0 vs industry 22.3), supported by EPS of ₹5,554. Fundamentals remain stable with ROCE (16.3%) and ROE (12.4%), though quarterly PAT declined (₹736 Cr → ₹669 Cr). Debt-to-equity is low at 0.08, providing financial stability.
💡 Optimal Entry: ₹1,28,000–₹1,29,000 (near 50 DMA support zone)
🚪 Exit if Holding: Profit-taking zone around ₹1,36,000–₹1,38,000; Stop-loss below ₹1,27,000
✅ Positive
- Fair valuation (P/E 23.0 vs industry 22.3)
- Strong EPS at ₹5,554
- Low debt-to-equity ratio (0.08)
- Quarterly profit variation (+34.4%) year-on-year
⚠️ Limitation
- Trading below 200 DMA (₹1,36,966)
- Quarterly PAT decline (₹736 Cr → ₹669 Cr)
- Weak momentum indicators (MACD -184)
- Decline in both FII (-0.20%) and DII (-0.25%) holdings
📉 Company Negative News
- Institutional investors reducing exposure
- Bearish technical signals with MACD negative
📈 Company Positive News
- Strong EPS supports valuation strength
- Debt-free balance sheet with low leverage
🏭 Industry
- Tyre sector industry P/E at 22.3, aligned with MRF’s valuation
- Sector outlook stable but cyclical with auto demand
🔎 Conclusion
MRF is a cautious swing trade candidate. While fundamentals remain strong with fair valuation and low debt, technicals show weakness below 200 DMA and bearish momentum. Entry near ₹1,28,000–₹1,29,000 offers controlled risk, but exits should be considered around ₹1,36,000–₹1,38,000. Suitable for tactical swing trades with strict stop-loss discipline.
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