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CANFINHOME - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.1

Last Updated Time : 03 Feb 26, 05:01 pm

Technical Rating: 4.1

Stock Code CANFINHOME Market Cap 12,238 Cr. Current Price 919 ₹ High / Low 972 ₹
Stock P/E 12.5 Book Value 410 ₹ Dividend Yield 1.27 % ROCE 9.34 %
ROE 18.2 % Face Value 2.00 ₹ DMA 50 902 ₹ DMA 200 832 ₹
Chg in FII Hold 0.72 % Chg in DII Hold 0.82 % PAT Qtr 265 Cr. PAT Prev Qtr 251 Cr.
RSI 46.8 MACD -1.76 Volume 92,613 Avg Vol 1Wk 1,45,794
Low price 558 ₹ High price 972 ₹ PEG Ratio 0.57 Debt to equity 6.61
52w Index 87.3 % Qtr Profit Var 24.8 % EPS 73.2 ₹ Industry PE 16.4

📊 Technical Analysis

  • Chart Patterns: Stock consolidating near upper resistance (972 ₹) after a strong uptrend from 558 ₹.
  • Moving Averages: Current price (919 ₹) above 50 DMA (902 ₹) and 200 DMA (832 ₹), confirming medium-term bullish trend.
  • RSI: At 46.8, neutral — no strong momentum signal.
  • MACD: Negative (-1.76), short-term weakness indicated.
  • Bollinger Bands: Price near mid-band, suggesting consolidation with low volatility.
  • Volume Trends: Current volume (92,613) below 1-week average (145,794), showing reduced buying interest.

📈 Momentum & Signals

  • Short-term Momentum: Weak due to negative MACD and low volume.
  • Support Levels: 902 ₹ (50 DMA), 880 ₹ (trendline support).
  • Resistance Levels: 940 ₹ (near-term), 972 ₹ (major resistance).
  • Optimal Entry Zone: 890–905 ₹ (close to support).
  • Optimal Exit Zone: 950–970 ₹ (near resistance).
  • Trend Status: Consolidating with mild bullish bias.

✅ Positive

  • Strong EPS (73.2 ₹) and attractive PEG ratio (0.57).
  • ROE at 18.2% reflects efficient capital usage.
  • Quarterly PAT growth (265 Cr vs 251 Cr) shows improving profitability.
  • Stock trading at discount compared to industry PE (12.5 vs 16.4).

⚠️ Limitation

  • High debt-to-equity ratio (6.61) raises financial risk.
  • ROCE at 9.34% is relatively modest.
  • Weak trading volume suggests lack of strong momentum.

📉 Company Negative News

  • High leverage could pressure margins if interest rates rise.
  • Stock facing resistance near 972 ₹, risk of pullback if breakout fails.

📈 Company Positive News

  • Quarterly profit variation of 24.8% highlights strong growth.
  • Institutional confidence with FII (+0.72%) and DII (+0.82%) holding increases.

🏭 Industry

  • Housing finance sector supported by strong demand and government initiatives.
  • Industry PE at 16.4 vs stock PE at 12.5 — valuation advantage.

🔎 Conclusion

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