SBILIFE - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.6
| Stock Code | SBILIFE | Market Cap | 1,90,943 Cr. | Current Price | 1,903 ₹ | High / Low | 2,133 ₹ |
| Stock P/E | 77.0 | Book Value | 190 ₹ | Dividend Yield | 0.14 % | ROCE | 16.9 % |
| ROE | 15.1 % | Face Value | 10.0 ₹ | DMA 50 | 1,994 ₹ | DMA 200 | 1,908 ₹ |
| Chg in FII Hold | 0.03 % | Chg in DII Hold | 0.02 % | PAT Qtr | 577 Cr. | PAT Prev Qtr | 495 Cr. |
| RSI | 38.8 | MACD | -30.6 | Volume | 7,54,129 | Avg Vol 1Wk | 9,64,323 |
| Low price | 1,431 ₹ | High price | 2,133 ₹ | PEG Ratio | 4.53 | Debt to equity | 0.00 |
| 52w Index | 67.3 % | Qtr Profit Var | 4.71 % | EPS | 24.7 ₹ | Industry PE | 74.7 |
📊 SBILIFE trades at ₹1,903, slightly below its 50DMA (₹1,994) and near its 200DMA (₹1,908). Technical indicators (RSI 38.8, MACD -30.6) show weak momentum, but fundamentals remain strong with zero debt and consistent profitability. Valuation is expensive (P/E 77 vs industry 74.7), making it a cautious swing trade candidate.
💡 Optimal Entry Price: Around ₹1,880–1,900 (near 200DMA support).
🔔 Exit Strategy if Holding: Consider exiting near ₹1,990–2,000 (around 50DMA resistance) unless momentum improves.
✅ Positive
- Strong ROCE at 16.9% and ROE at 15.1%.
- Zero debt-to-equity ratio ensures financial stability.
- Quarterly PAT growth from ₹495 Cr. to ₹577 Cr.
- EPS at ₹24.7 shows consistent earnings.
- Institutional investors increasing stake (FII +0.03%, DII +0.02%).
⚠️ Limitation
- High P/E of 77 compared to industry average of 74.7.
- PEG ratio of 4.53 indicates overvaluation.
- Dividend yield is very low at 0.14%.
- Quarterly profit variation only 4.71%, showing slower growth momentum.
📉 Company Negative News
- Weak technicals: RSI near oversold, MACD negative.
- Price trading below 50DMA and close to 200DMA support.
📈 Company Positive News
- Strong profitability with rising PAT.
- Zero debt enhances financial resilience.
- Institutional confidence reflected in increased holdings.
🏭 Industry
- Industry PE at 74.7, slightly lower than SBILIFE’s valuation.
- Life insurance sector in India is expanding with rising demand for financial protection.
- Competition from private insurers and digital platforms remains strong.
🔎 Conclusion
SBILIFE is fundamentally strong with zero debt and steady profitability, but technically weak at present. It is a cautious swing trade candidate if entered near ₹1,880–1,900 with a target around ₹1,990–2,000. Risk management is essential due to high valuation and weak momentum indicators.