⚠ 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.

NHPC - Swing Trade Analysis with AI Signals

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Rating: 3.7

Last Updated Time : 05 May 26, 03:59 pm

📊 Swing Trade Rating: 3.7

Stock Code NHPC Market Cap 83,675 Cr. Current Price 83.3 ₹ High / Low 92.3 ₹
Stock P/E 26.3 Book Value 39.6 ₹ Dividend Yield 2.29 % ROCE 7.44 %
ROE 8.40 % Face Value 10.0 ₹ DMA 50 79.0 ₹ DMA 200 80.0 ₹
Chg in FII Hold -0.05 % Chg in DII Hold 0.47 % PAT Qtr 293 Cr. PAT Prev Qtr 926 Cr.
RSI 61.1 MACD 1.94 Volume 1,05,92,525 Avg Vol 1Wk 2,16,76,677
Low price 68.7 ₹ High price 92.3 ₹ PEG Ratio -4.08 Debt to equity 0.99
52w Index 61.7 % Qtr Profit Var 7.04 % EPS 3.17 ₹ Industry PE 31.0

NHPC shows moderate potential for swing trading. The RSI (61.1) and MACD (1.94) indicate bullish momentum. The current price (₹83.3) is above both the 50 DMA (₹79.0) and 200 DMA (₹80.0), suggesting short-term strength. However, fundamentals are weak with low ROCE (7.44%) and ROE (8.40%), while quarterly PAT dropped sharply (₹293 Cr vs ₹926 Cr). Valuation is fair (P/E 26.3 vs industry 31.0), but debt-to-equity ratio (0.99) is relatively high.

Optimal Entry Price: Around ₹80–82, near DMA support.

📤 Exit Strategy: If already holding, consider profit booking near ₹88–90, or exit if price falls below ₹78 support.

🌟 Positive

  • Dividend yield of 2.29% provides steady returns.
  • Valuation is slightly below industry average (P/E 26.3 vs 31.0).
  • DII holding increased (+0.47%), showing domestic institutional support.

⚠️ Limitation

  • Weak fundamentals with low ROCE (7.44%) and ROE (8.40%).
  • High debt-to-equity ratio (0.99).
  • Quarterly PAT dropped significantly, showing earnings volatility.

📰 Company Negative News

  • Sharp decline in quarterly profit (₹293 Cr vs ₹926 Cr).
  • FII holding decreased (-0.05%), reflecting reduced foreign investor confidence.

📈 Company Positive News

  • Dividend yield of 2.29% supports investor sentiment.
  • Stock trading above both 50 DMA and 200 DMA indicates short-term strength.

🏭 Industry

  • Industry P/E at 31.0 shows NHPC trades at a slight discount.
  • Power and energy sector is defensive but sensitive to government policy and demand cycles.

✅ Conclusion

NHPC is a fair candidate for swing trading with entry near ₹80–82 and exit around ₹88–90. While valuation is reasonable and dividend yield is attractive, weak fundamentals and profit decline limit upside potential. Suitable for cautious traders focusing on short-term momentum.

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