NH - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 3.9

📉 Optimal Entry Price: ₹1,780–₹1,800 (near 50 DMA and RSI support)

📈 Exit Strategy (if holding): ₹2,350–₹2,370 (near 52-week high and resistance)

🔷 Positive

• 📈 ROCE (19.4%) and ROE (21.0%): Indicate strong operational and financial efficiency.
• 📈 MACD at 6.28: Suggests bullish momentum and trend continuation.
• 📈 Trading above DMA 50 and 200: Reflects technical strength and support.
• 📈 Volume above 1-week average: Indicates rising market interest.
• 📊 EPS of ₹21.1: Supports valuation and earnings strength.

⚠️ Limitation

• 📉 High P/E of 86.5: Significantly above industry average (57.2), suggesting overvaluation.
• 📉 PEG ratio of 1.87: Implies valuation is stretched relative to growth.
• 📉 Quarterly PAT dropped: From ₹160 Cr. to ₹87.4 Cr., showing earnings volatility.
• 📉 DII holding dropped by 0.33%: Indicates cautious domestic sentiment.
• 📉 Dividend yield of 0.25%: Minimal income return for investors.

📉 Company Negative News

• 📉 Q2FY26 PAT fell 45% QoQ, raising concerns over margin pressure and cost escalation.
• 📉 Analysts flagged valuation concerns due to high P/E and slowing profitability.

📈 Company Positive News

• 📈 NH continues to expand its hospital network and specialty services, supporting long-term growth.
• 📊 Management remains optimistic about demand in tier-2 cities and digital health initiatives.

🏥 Industry

• 🩺 Operates in the healthcare and hospital services sector, which benefits from rising demand for quality care and preventive services.
• 📈 Industry P/E of 57.2 suggests NH trades at a premium, likely due to brand strength and expansion potential.

🧾 Conclusion

• ⚠️ NH is a moderately strong swing trade candidate with bullish technicals and sector tailwinds, though valuation and earnings pressure warrant caution.
• 📌 Entry near ₹1,780–₹1,800 offers a favorable setup if RSI stabilizes and MACD sustains.
• 🚪 If already holding, consider exiting near ₹2,350–₹2,370, aligning with resistance and 52-week high.

I can also compare NH with peers like Apollo Hospitals or KIMS to help refine your swing strategy.