NMDC - Swing Trade Analysis with AI Signals
Back to ListHere’s the structured swing trade analysis for NMDC based on the given parameters
📊 Swing Trade Rating: 4.2
| Stock Code | NMDC | Market Cap | 77,834 Cr. | Current Price | 88.5 ₹ | High / Low | 97.5 ₹ |
| Stock P/E | 10.5 | Book Value | 38.5 ₹ | Dividend Yield | 3.73 % | ROCE | 27.7 % |
| ROE | 23.4 % | Face Value | 1.00 ₹ | DMA 50 | 88.4 ₹ | DMA 200 | 81.7 ₹ |
| Chg in FII Hold | 0.12 % | Chg in DII Hold | -0.30 % | PAT Qtr | 2,020 Cr. | PAT Prev Qtr | 1,738 Cr. |
| RSI | 47.0 | MACD | -0.15 | Volume | 1,47,11,006 | Avg Vol 1Wk | 2,05,84,186 |
| Low price | 66.8 ₹ | High price | 97.5 ₹ | PEG Ratio | 0.61 | Debt to equity | 0.19 |
| 52w Index | 70.8 % | Qtr Profit Var | 35.0 % | EPS | 8.44 ₹ | Industry PE | 19.6 |
NMDC shows strong swing trade potential. The current price of 88.5 ₹ is near its 50 DMA (88.4 ₹) and well above the 200 DMA (81.7 ₹), reflecting medium-term bullish strength. RSI at 47.0 suggests neutral momentum, while MACD at -0.15 indicates mild bearish undertones. Fundamentals are attractive with ROCE at 27.7%, ROE at 23.4%, and EPS of 8.44 ₹. Valuation is compelling (P/E 10.5 vs industry 19.6, PEG 0.61), supported by strong dividend yield (3.73%) and robust quarterly PAT growth (+35%).
Optimal Entry Price: 86–89 ₹, near support levels.
Exit Strategy if Holding: Consider profit booking around 95–97 ₹. If momentum sustains, monitor for breakout toward 97.5 ₹ resistance.
✅ Positive
- 📈 Attractive valuation: P/E 10.5 vs industry 19.6.
- 💰 Dividend yield of 3.73% provides steady returns.
- 📊 Strong ROCE (27.7%) and ROE (23.4%).
- 📈 PAT growth (2,020 Cr. vs 1,738 Cr.) shows earnings momentum.
- 💹 EPS of 8.44 ₹ reflects solid profitability.
⚠️ Limitation
- 📉 RSI at 47.0 indicates neutral momentum, limiting immediate upside.
- 📊 DII holding decreased (-0.30%), showing reduced domestic support.
- 📉 EPS growth may be cyclical due to commodity exposure.
🚨 Company Negative News
- 📉 Decline in DII holdings (-0.30%).
- ⚠️ Mild bearish MACD (-0.15) suggests short-term caution.
🌟 Company Positive News
- 📈 Quarterly PAT growth of 35% boosts sentiment.
- 💹 FII holding increased (+0.12%), showing foreign investor confidence.
- 📊 Strong dividend yield adds investor appeal.
🏭 Industry
- 📊 Industry P/E at 19.6 is higher, showing NMDC trades at a discount.
- ⛏️ Metals and mining sector is cyclical, offering swing trade opportunities during commodity upturns.
📌 Conclusion
NMDC is a strong candidate for swing trading with undervaluation, strong fundamentals, and dividend yield. Entry near 86–89 ₹ offers a favorable risk-reward setup. Exit should be considered around 95–97 ₹ unless momentum sustains beyond 97.5 ₹. Traders should monitor RSI and commodity cycles closely for confirmation.
Would you like me to extend this with a peer benchmarking against other metal and mining stocks like SAIL and Hindustan_Copper to highlight relative swing trade opportunities?