MUTHOOTFIN - Swing Trade Analysis with AI Signals
Back to ListHere’s the structured swing trade analysis for MUTHOOTFIN based on the given parameters
📊 Swing Trade Rating: 4.0
| Stock Code | MUTHOOTFIN | Market Cap | 1,27,697 Cr. | Current Price | 3,182 ₹ | High / Low | 4,150 ₹ |
| Stock P/E | 12.6 | Book Value | 940 ₹ | Dividend Yield | 0.94 % | ROCE | 16.0 % |
| ROE | 30.6 % | Face Value | 10.0 ₹ | DMA 50 | 3,288 ₹ | DMA 200 | 3,270 ₹ |
| Chg in FII Hold | 0.56 % | Chg in DII Hold | -0.70 % | PAT Qtr | 3,086 Cr. | PAT Prev Qtr | 2,656 Cr. |
| RSI | 48.3 | MACD | -68.7 | Volume | 7,66,514 | Avg Vol 1Wk | 6,56,543 |
| Low price | 2,477 ₹ | High price | 4,150 ₹ | PEG Ratio | 0.29 | Debt to equity | 3.67 |
| 52w Index | 42.2 % | Qtr Profit Var | 105 % | EPS | 252 ₹ | Industry PE | 22.4 |
MUTHOOTFIN shows good potential for swing trading. The current price of 3,182 ₹ is slightly below both the 50 DMA (3,288 ₹) and 200 DMA (3,270 ₹), reflecting short-term weakness but long-term support. RSI at 48.3 suggests neutral momentum, while MACD at -68.7 indicates bearish pressure. Fundamentals are strong with ROE at 30.6% and EPS at 252 ₹. Valuation is attractive (P/E 12.6 vs industry 22.4, PEG 0.29), though high debt-to-equity (3.67) is a concern.
Optimal Entry Price: 3,150–3,250 ₹, near current support levels.
Exit Strategy if Holding: Consider profit booking around 3,600–3,700 ₹. If momentum sustains, monitor for breakout toward 4,150 ₹ resistance.
✅ Positive
- 📈 Strong EPS (252 ₹) and consistent profit growth.
- 💰 ROE of 30.6% indicates efficient shareholder returns.
- 📊 PAT growth (3,086 Cr. vs 2,656 Cr.) shows robust earnings momentum.
- 💹 Dividend yield of 0.94% provides steady returns.
⚠️ Limitation
- 📉 High debt-to-equity ratio (3.67) increases financial risk.
- 📊 ROCE (16.0%) is modest compared to peers.
- 📉 DII holding decreased (-0.70%), showing reduced domestic institutional support.
🚨 Company Negative News
- 📉 Leverage remains a concern due to high debt levels.
- ⚠️ Weak technical indicators (MACD -68.7) suggest short-term pressure.
🌟 Company Positive News
- 📈 Quarterly PAT growth of 105% supports bullish sentiment.
- 💹 FII holding increased (+0.56%), showing foreign investor confidence.
🏭 Industry
- 📊 Industry P/E at 22.4 shows MUTHOOTFIN trades at a discount (P/E 12.6).
- 💼 NBFC sector benefits from rising credit demand but is sensitive to interest rate cycles.
📌 Conclusion
MUTHOOTFIN is a strong candidate for swing trading with entry near 3,150–3,250 ₹ and exit around 3,600–3,700 ₹. Strong earnings and valuation discount support upside potential, but high leverage requires cautious risk management. Suitable for medium-risk traders seeking short-term gains.
Would you like me to extend this with a sector overlay comparison against other NBFCs like Bajaj Finance or Manappuram Finance to highlight relative swing trade opportunities?