CANFINHOME - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.2
| Stock Code | CANFINHOME | Market Cap | 11,521 Cr. | Current Price | 865 ₹ | High / Low | 972 ₹ |
| Stock P/E | 10.6 | Book Value | 449 ₹ | Dividend Yield | 1.39 % | ROCE | 9.17 % |
| ROE | 19.7 % | Face Value | 2.00 ₹ | DMA 50 | 865 ₹ | DMA 200 | 846 ₹ |
| Chg in FII Hold | 0.13 % | Chg in DII Hold | -0.09 % | PAT Qtr | 346 Cr. | PAT Prev Qtr | 265 Cr. |
| RSI | 49.8 | MACD | 11.5 | Volume | 1,63,600 | Avg Vol 1Wk | 2,98,296 |
| Low price | 692 ₹ | High price | 972 ₹ | PEG Ratio | 0.52 | Debt to equity | 6.40 |
| 52w Index | 62.0 % | Qtr Profit Var | 47.8 % | EPS | 81.5 ₹ | Industry PE | 15.1 |
📊 CANFINHOME is trading at ₹865, exactly at its 50 DMA (₹865) and above its 200 DMA (₹846), showing neutral-to-positive bias. RSI at 49.8 signals consolidation, while MACD at 11.5 indicates a strong bullish crossover. Bollinger Bands suggest price stability near the mid-band. However, volume (1,63,600) remains below the weekly average (2,98,296), limiting momentum strength.
💡 Optimal Entry Zone: ₹850–865 (near DMA support).
📈 Exit Zone: ₹950–970 (near resistance and swing high).
🔎 Trend Status: Consolidating with bullish undertone due to MACD strength but weaker volume participation.
✅ Positive
- EPS of ₹81.5 and quarterly profit growth of 47.8% highlight strong earnings momentum.
- ROE of 19.7% reflects efficient capital utilization.
- PEG ratio of 0.52 suggests undervaluation relative to growth prospects.
- Price trading above 200 DMA confirms long-term technical strength.
⚠️ Limitation
- High debt-to-equity ratio of 6.40 increases financial risk.
- ROCE at 9.17% is relatively weak compared to peers.
- Trading volume below weekly average, indicating limited participation in the rally.
📉 Company Negative News
- No major negative news reported recently, but debt levels remain a structural concern.
📈 Company Positive News
- Quarterly PAT improved significantly from ₹265 Cr. to ₹346 Cr.
- FII holdings increased slightly (+0.13%), showing institutional confidence.
🏭 Industry
- Industry PE is 15.1, higher than CANFINHOME’s PE of 10.6, suggesting undervaluation.
- Housing finance sector remains supported by demand for affordable housing in India.
🔎 Conclusion
CANFINHOME offers a favorable swing trade setup with undervaluation and strong profit growth. Entry near ₹850–865 provides a good risk-reward opportunity, while exit near ₹950–970 is prudent unless volume strengthens. Long-term investors should monitor debt levels closely.