NIACL - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 3.9

📊 NIACL shows signs of a potential technical rebound with improving fundamentals. Entry near ₹180–₹183 is ideal. If already held, consider exiting near ₹190–₹195.

📈 Positive

• Zero debt enhances financial stability and reduces risk.
• Quarterly PAT growth of 80.2% indicates strong earnings momentum.
• PEG ratio of 0.32 suggests undervaluation relative to growth.
• RSI (35.6) signals oversold territory, ideal for swing entry.
• MACD (-1.66) may be approaching a bullish crossover.

⚠️ Limitation

• Low ROCE (3.72%) and ROE (3.54%) reflect weak capital efficiency.
• Dividend yield (0.99%) is modest for long-term holders.
• Stock P/E (25.9) is below industry average (45.1), but may reflect lower growth expectations.
• Trading below both 50-DMA and 200-DMA indicates bearish sentiment.

🚫 Company Negative News

• No major institutional movement: FII and DII holdings unchanged.
• Low ROE and ROCE continue to weigh on long-term investor confidence.

✅ Company Positive News

• Q1FY26 net profit surged 80% YoY, boosting investor sentiment

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• Gross direct premium grew 15.27% YoY, indicating strong market share gains

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• Stock jumped over 7% in July following earnings beat

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🌐 Industry

• NIACL operates in the Multiline Insurance sector, which is stable but sensitive to regulatory and underwriting risks.
• Industry P/E of 45.1 reflects high valuation expectations.

🧾 Conclusion

• NIACL is a moderate swing trade candidate with improving fundamentals and technical support.
• Optimal entry: ₹180–₹183 (near current price and RSI support).
• Exit target: ₹190–₹195 (near 50-DMA and short-term resistance).
• Monitor MACD crossover and volume spikes for confirmation.

Sources

MoneyControl

+2

I can chart NIACL’s RSI and MACD trends to help you visualize the timing for entry and exit.