PFC - Swing Trade Analysis with AI Signals

Last Updated Time : 19 Sept 25, 2:15 pm

Swing Trade Rating: 3.8

📊 Swing Trade Analysis: Power Finance Corporation Ltd (PFC)

PFC offers a value-driven swing trade opportunity, supported by strong earnings, attractive valuation, and technical support. While momentum is neutral and institutional sentiment is soft, the stock’s fundamentals make it a viable candidate for short-term trading.

✅ Strengths

Attractive Valuation

P/E: 7.42 vs Industry PE: 25.3 → Deeply undervalued.

PEG Ratio: 0.37 → Strong growth at a low price.

Strong Earnings

EPS: ₹55.0 and PAT Qtr: ₹4,502 Cr. → Robust profitability.

Qtr Profit Var: +21.1% → Positive earnings momentum.

Dividend Yield: 3.87% → Attractive for income-seeking traders.

Technical Support

Current price ₹408 is near DMA50 (₹404) and DMA200 (₹417) → Consolidation zone with potential support.

Volume: 48.26L > 1-week average → Healthy liquidity.

⚠️ Weaknesses

Momentum Indicators

MACD: -0.65 → Slight bearish crossover.

RSI: 57.3 → Neutral zone, lacking strong momentum.

Institutional Sentiment

FII Holding ↓ 0.18%, DII Holding ↓ 0.06% → Mild pullback from major investors.

Leverage Risk

Debt-to-Equity: 5.23 → Highly leveraged, typical for NBFCs but worth monitoring.

ROCE: 9.74% → Moderate capital efficiency.

🎯 Optimal Entry Price

Buy Zone: ₹395–₹405

Near DMA50 and recent support, offering a safer entry with limited downside.

🚪 Exit Strategy (If Holding)

Target Exit: ₹440–₹455

Based on swing potential and resistance zone.

Stop Loss: ₹385

Below recent support to manage downside risk.

This setup suits value-focused swing traders who can monitor momentum indicators and exit on strength. Let me know if you'd like help setting alerts or visualizing this trade.

Edit in a page