NIACL - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 2.6
| Stock Code | NIACL | Market Cap | 21,474 Cr. | Current Price | 130 ₹ | High / Low | 215 ₹ |
| Stock P/E | 18.3 | Book Value | 169 ₹ | Dividend Yield | 1.38 % | ROCE | 3.72 % |
| ROE | 3.54 % | Face Value | 5.00 ₹ | DMA 50 | 146 ₹ | DMA 200 | 167 ₹ |
| Chg in FII Hold | -0.01 % | Chg in DII Hold | -0.03 % | PAT Qtr | 372 Cr. | PAT Prev Qtr | 63.2 Cr. |
| RSI | 30.6 | MACD | -4.71 | Volume | 3,42,400 | Avg Vol 1Wk | 4,58,499 |
| Low price | 129 ₹ | High price | 215 ₹ | PEG Ratio | 0.23 | Debt to equity | 0.00 |
| 52w Index | 0.78 % | Qtr Profit Var | 5.13 % | EPS | 7.11 ₹ | Industry PE | 32.6 |
📊 NIACL shows weak potential for swing trading at present. While the fundamentals are stable with positive EPS (7.11 ₹), decent book value (169 ₹), and low debt-to-equity (0.00), the technical indicators are bearish. The current price (130 ₹) is below both the 50 DMA (146 ₹) and 200 DMA (167 ₹), RSI at 30.6 indicates oversold conditions, and MACD (-4.71) signals continued weakness. Despite a sharp improvement in quarterly PAT (372 Cr. vs 63.2 Cr.), overall ROCE (3.72%) and ROE (3.54%) remain low, limiting upside momentum.
✅ Optimal Entry Price: Around 125–130 ₹ (near support levels).
🚪 Exit Strategy: If already holding, consider exiting near 145–150 ₹ (50 DMA resistance) unless strong reversal with volume occurs.
🌟 Positive
- EPS of 7.11 ₹ indicates profitability.
- Quarterly PAT improved significantly from 63.2 Cr. to 372 Cr.
- Debt-to-equity ratio of 0.00 shows financial stability.
- PEG ratio of 0.23 suggests undervaluation relative to growth.
⚠️ Limitation
- Stock trades below both 50 DMA and 200 DMA, signaling bearish trend.
- Low ROCE (3.72%) and ROE (3.54%) reflect weak efficiency.
- RSI and MACD indicate continued weakness in momentum.
- Dividend yield is modest at 1.38%, not highly attractive for long-term investors.
📰 Company Negative News
- Institutional confidence is weak with FII holdings down -0.01% and DII holdings down -0.03%.
- Stock has corrected sharply from its high of 215 ₹ to current levels.
📈 Company Positive News
- Quarterly PAT surged, showing operational improvement.
- PEG ratio indicates potential undervaluation.
- Strong book value of 169 ₹ provides downside cushion.
🏭 Industry
- Industry PE is 32.6, higher than NIACL’s PE of 18.3, suggesting the stock is undervalued compared to peers.
- Insurance sector remains stable but faces margin pressures due to competitive pricing and claims volatility.
🔎 Conclusion
NIACL is a weak candidate for swing trading due to bearish technicals and low efficiency metrics. Short-term traders may attempt entries near 125–130 ₹ with strict stop-losses, targeting 145–150 ₹. Risk remains high, and sustained recovery depends on consistent profitability and stronger momentum indicators.