PNBHOUSING - Swing Trade Analysis with AI Signals

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

📊 Swing Trade Rating: 4.2

📈 PNB Housing Finance shows strong technical momentum and improving profitability, making it a solid swing trade candidate. Ideal entry is ₹900–₹915. If already held, consider exiting near ₹970–₹990.

📈 Positive

• 📈 Trading above both DMA 50 (₹886) and DMA 200 (₹910) confirms bullish trend.
• 📊 RSI at 65 and MACD at 21.2 indicate strong upward momentum.
• 📈 PAT growth of 32.8% QoQ and EPS of ₹84.4 reflect improving earnings quality.
• 💸 PEG ratio of 0.33 suggests undervaluation relative to growth.
• 📈 DII holding increased by 2.69%, showing domestic institutional confidence.

⚠️ Limitation

• 📉 FII holding dropped by 5.57%, indicating cautious foreign sentiment.
• 📉 Debt-to-equity ratio of 3.62 is high, typical for NBFCs but still a risk factor.
• 📉 Volume (6.73 lakh) is below 1-week average (10.55 lakh), suggesting reduced participation.
• 📉 ROCE (9.46%) and ROE (12.3%) are moderate compared to peers.

🚫 Company Negative News

• 📉 Analysts have slightly lowered the price target from ₹1,105 to ₹1,094 due to slower projected revenue growth and discount rate adjustments

  Simply Wall St

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✅ Company Positive News

• 📈 Net profit rose 23.83% YoY in Q2 FY26 to ₹581.59 Cr., with total income up 13.35%

  ET Realty

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• 🏠 Focus on affordable and emerging housing segments now makes up ~50% of retail disbursements

  Moneycontrol

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• 📊 Highest quarterly RoE (>13%) since FY21 reflects operational efficiency despite leadership transitions

  Moneycontrol

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🏦 Industry

• 🏘️ Housing finance sector is benefiting from rising demand in affordable housing and government-backed schemes.
• 📊 Industry P/E of 17.7 vs stock P/E of 11.0 suggests valuation comfort.

🧾 Conclusion

• 📈 PNB Housing is technically strong with improving fundamentals and attractive valuation.
• 📍 Optimal entry: ₹900–₹915 (near DMA 200 support).
• 🚪 Exit if held: ₹970–₹990 (resistance zone and near analyst target).
• 📊 Suitable for swing trading with moderate risk and strong upside potential.

Would you like a comparative swing trade setup between PNB Housing and another NBFC like LIC Housing or Can Fin Homes?