NHPC - Swing Trade Analysis with AI Signals
Back to ListHere’s the structured swing trade analysis for NHPC based on the given parameters
📊 Swing Trade Rating: 3.4
| Stock Code | NHPC | Market Cap | 76,251 Cr. | Current Price | 75.9 ₹ | High / Low | 89.8 ₹ |
| Stock P/E | 21.1 | Book Value | 39.8 ₹ | Dividend Yield | 2.52 % | ROCE | 6.00 % |
| ROE | 9.24 % | Face Value | 10.0 ₹ | DMA 50 | 77.1 ₹ | DMA 200 | 79.2 ₹ |
| Chg in FII Hold | -0.05 % | Chg in DII Hold | 0.47 % | PAT Qtr | 1,328 Cr. | PAT Prev Qtr | 293 Cr. |
| RSI | 49.2 | MACD | -1.20 | Volume | 5,12,58,636 | Avg Vol 1Wk | 3,16,20,134 |
| Low price | 68.7 ₹ | High price | 89.8 ₹ | PEG Ratio | -12.3 | Debt to equity | 1.11 |
| 52w Index | 34.5 % | Qtr Profit Var | 48.5 % | EPS | 3.60 ₹ | Industry PE | 27.6 |
NHPC shows moderate swing trade potential. The current price of 75.9 ₹ is below both the 50 DMA (77.1 ₹) and 200 DMA (79.2 ₹), reflecting short-term weakness. RSI at 49.2 suggests neutral momentum, while MACD at -1.20 indicates bearish undertones. Fundamentals are mixed: dividend yield of 2.52% adds stability, but ROCE (6.00%) and ROE (9.24%) are weak. Valuation is fair (P/E 21.1 vs industry 27.6), though debt-to-equity ratio of 1.11 raises caution. Strong PAT growth (1,328 Cr. vs 293 Cr.) supports sentiment.
Optimal Entry Price: 72–76 ₹, near support levels.
Exit Strategy if Holding: Consider profit booking around 84–88 ₹. If momentum sustains, monitor for breakout toward 89.8 ₹ resistance.
✅ Positive
- 📈 Dividend yield of 2.52% provides steady returns.
- 💰 Fair valuation (P/E 21.1 vs industry 27.6).
- 📊 PAT growth (1,328 Cr. vs 293 Cr.) shows strong quarterly improvement.
- 💹 DII inflows (+0.47%) add domestic support.
⚠️ Limitation
- 📉 Weak ROCE (6.00%) and ROE (9.24%).
- 📊 Debt-to-equity ratio of 1.11 indicates leverage risk.
- 📉 RSI and MACD show weak momentum.
🚨 Company Negative News
- 📉 FII holding decreased (-0.05%), showing reduced foreign confidence.
- ⚠️ EPS of 3.60 ₹ reflects modest earnings power.
🌟 Company Positive News
- 📈 PAT surged from 293 Cr. to 1,328 Cr., boosting sentiment.
- 💹 Dividend yield remains attractive at 2.52%.
- 📊 Strong trading volumes ensure liquidity for swing trades.
🏭 Industry
- 📊 Industry P/E at 27.6 is higher, showing NHPC trades at a discount.
- ⚡ Power sector is defensive, offering stability but limited rapid growth.
📌 Conclusion
NHPC is a moderately good candidate for swing trading with fair valuation, dividend yield, and strong quarterly PAT growth. Entry near 72–76 ₹ offers a safer margin, while exits around 84–88 ₹ are prudent. Weak profitability metrics and high debt remain key risks, especially with RSI and MACD showing bearish signals.
Would you like me to extend this with a sector overlay comparing NHPC against peers like NTPC and SJVN to highlight relative swing trade opportunities?