⚠ 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.

MUTHOOTFIN - Swing Trade Analysis with AI Signals

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Rating: 3.6

Last Updated Time : 04 Feb 26, 02:09 am

Swing Trade Rating: 3.6

Stock Code MUTHOOTFIN Market Cap 1,45,122 Cr. Current Price 3,625 ₹ High / Low 4,150 ₹
Stock P/E 20.0 Book Value 793 ₹ Dividend Yield 0.72 % ROCE 13.4 %
ROE 19.7 % Face Value 10.0 ₹ DMA 50 3,741 ₹ DMA 200 3,141 ₹
Chg in FII Hold 0.17 % Chg in DII Hold -0.24 % PAT Qtr 2,345 Cr. PAT Prev Qtr 2,046 Cr.
RSI 41.4 MACD -35.3 Volume 12,55,895 Avg Vol 1Wk 10,38,917
Low price 1,964 ₹ High price 4,150 ₹ PEG Ratio 2.09 Debt to equity 3.52
52w Index 76.0 % Qtr Profit Var 87.4 % EPS 181 ₹ Industry PE 19.4

📊 MUTHOOTFIN shows moderate potential for swing trading. The stock is currently at 3,625 ₹, trading below its 50 DMA (3,741 ₹) but above its 200 DMA (3,141 ₹), indicating short-term weakness but long-term support. RSI at 41.4 suggests the stock is approaching oversold territory, while MACD at -35.3 reflects bearish momentum. Fundamentals are decent with ROE at 19.7% and EPS at 181 ₹, but high debt-to-equity (3.52) and weak ROCE (13.4%) limit attractiveness.

✅ Optimal Entry Price: 3,550–3,600 ₹ (near support zone)

🚪 Exit Strategy (if already holding): Consider profit booking around 3,950–4,100 ₹ (resistance zone), or exit if price falls below 3,500 ₹ with strong volume.

Positive

  • 💡 EPS of 181 ₹ reflects strong earnings power.
  • 📈 P/E of 20.0 is aligned with industry average (19.4), suggesting fair valuation.
  • 📊 Quarterly PAT improved (2,046 Cr. → 2,345 Cr.).
  • 💰 Dividend yield of 0.72% adds investor confidence.

Limitation

  • ⚠️ Debt-to-equity ratio of 3.52 is high, increasing financial risk.
  • 📉 ROCE at 13.4% is relatively weak compared to peers.
  • 🔻 Trading below 50 DMA, showing short-term weakness.
  • 📉 RSI at 41.4 indicates bearish sentiment.

Company Negative News

  • 📉 DII holding decreased by -0.24%.
  • 📉 MACD at -35.3 signals bearish momentum.

Company Positive News

  • 📊 Quarterly PAT growth of 87.4% shows strong earnings recovery.
  • 📈 FII holding increased by 0.17%, reflecting foreign investor confidence.
  • 📦 Stock trading above 200 DMA, showing long-term support.

Industry

  • 🏭 Industry P/E at 19.4 indicates sector is fairly valued.
  • 📦 NBFC sector benefits from rising credit demand and gold-backed lending growth.

Conclusion

⚖️ MUTHOOTFIN is fundamentally stable with strong earnings but faces high debt and weak short-term momentum. Entry near 3,550–3,600 ₹ offers a cautious swing setup, with exit targets around 3,950–4,100 ₹. Risk management is essential if price breaks below 3,500 ₹.

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