STARHEALTH - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 3.5

📉 Current Price: ₹488

📊 Optimal Entry Price: ₹470–475 (near 50 DMA support)

📈 Suggested Exit (if holding): ₹505–510 (near 52-week high resistance)

🔷 Positive

• 📈 MACD Positive: 7.74 indicates bullish momentum
• 📉 Low Debt: Debt-to-equity ratio of 0.06 reflects strong financial health
• 📈 Above DMA Levels: Price trading above both 50 DMA (₹468) and 200 DMA (₹454)
• 📈 ROCE & ROE: ROCE at 12.0% and ROE at 9.37% show decent capital efficiency

⚠️ Limitation

• 📉 High P/E: 53.8 vs industry average of 45.1 suggests overvaluation
• 📉 Volume Weakness: Current volume (4.69L) significantly below 1-week average (13.6L)
• 📉 RSI at 56.2: Neutral zone, limited upside without fresh trigger
• 📉 PEG Ratio: 1.43 indicates moderate valuation pressure

🚫 Company Negative News

• 📉 Sharp PAT Decline: Profit dropped from ₹263 Cr to ₹54.9 Cr QoQ (down 50.7%)
• 📉 FII Selling: Foreign institutional holding declined by 0.38%

✅ Company Positive News

• 🏥 Retail Health Focus: Continued expansion in retail health insurance segment
• 📈 EPS Strength: ₹9.07 supports long-term valuation
• 📊 DII Stability: Domestic institutional holding remained steady with a slight uptick

🏭 Industry

• 💊 Health Insurance Sector: Supported by rising awareness and regulatory push for coverage
• 📉 Valuation Risk: Sector trading at high multiples amid margin compression

🧾 Conclusion

STARHEALTH offers a moderate swing trade setup with technical support and sector tailwinds. However, recent profit decline and low volume suggest caution. Entry near ₹470–475 is ideal, with exit near ₹505–510. Watch for volume recovery and RSI strength before initiating new trades.

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