NMDC - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.4
| Stock Code | NMDC | Market Cap | 68,515 Cr. | Current Price | 77.9 ₹ | High / Low | 86.8 ₹ |
| Stock P/E | 9.93 | Book Value | 36.8 ₹ | Dividend Yield | 4.23 % | ROCE | 30.3 % |
| ROE | 24.4 % | Face Value | 1.00 ₹ | DMA 50 | 80.1 ₹ | DMA 200 | 76.7 ₹ |
| Chg in FII Hold | 0.44 % | Chg in DII Hold | -0.32 % | PAT Qtr | 1,738 Cr. | PAT Prev Qtr | 1,695 Cr. |
| RSI | 44.0 | MACD | -0.68 | Volume | 2,32,88,675 | Avg Vol 1Wk | 2,06,23,880 |
| Low price | 59.5 ₹ | High price | 86.8 ₹ | PEG Ratio | -0.92 | Debt to equity | 0.11 |
| 52w Index | 67.4 % | Qtr Profit Var | -10.6 % | EPS | 7.85 ₹ | Industry PE | 16.3 |
Analysis: NMDC trades at 77.9 ₹, slightly below its 50 DMA (80.1 ₹) but above its 200 DMA (76.7 ₹), showing mixed momentum. RSI at 44.0 suggests neutral strength, while MACD (-0.68) reflects mild bearishness. The P/E of 9.93 is well below the industry average (16.3), indicating undervaluation. Fundamentals are strong with ROCE (30.3%), ROE (24.4%), and low debt-to-equity (0.11). Dividend yield of 4.23% adds investor appeal. However, quarterly profit variation (-10.6%) signals slowing momentum. Overall, NMDC is a fairly good candidate for swing trading with cautious entry.
Optimal Entry Price: Around 76–78 ₹, near the 200 DMA support zone.
Exit Strategy (if already holding): Consider exiting near 84–86 ₹ (resistance zone close to recent high). Place a stop-loss around 74 ₹ to protect against downside risk.
✅ Positive
- Strong ROCE (30.3%) and ROE (24.4%) highlight efficiency.
- Low debt-to-equity ratio (0.11) ensures financial stability.
- P/E of 9.93 vs industry 16.3 suggests undervaluation.
- Dividend yield of 4.23% provides steady income.
⚠️ Limitation
- Quarterly profit variation (-10.6%) shows slowing momentum.
- MACD is slightly negative, reflecting weak short-term trend.
- PEG ratio (-0.92) indicates poor growth visibility.
📉 Company Negative News
- Quarterly PAT growth slowed (1,738 Cr. vs 1,695 Cr.).
- DII holdings decreased (-0.32%), showing reduced domestic confidence.
📈 Company Positive News
- FII holdings increased (+0.44%), reflecting foreign investor interest.
- Strong fundamentals with high efficiency and low debt.
🏭 Industry
- Industry P/E is 16.3, making NMDC relatively undervalued.
- Metals and mining sector benefits from global demand but faces commodity price volatility.
🔎 Conclusion
NMDC is fundamentally strong and undervalued compared to peers, making it a fair swing trade candidate. Entry near 76–78 ₹ is safer, with exit around 84–86 ₹. Stop-loss at 74 ₹ is recommended. While short-term profit slowdown is a concern, strong efficiency, low debt, and attractive dividend yield support potential upside.