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HOMEFIRST - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.9

Last Updated Time : 28 May 26, 08:26 pm

Technical Rating: 3.9

Stock Code HOMEFIRST Market Cap 11,662 Cr. Current Price 1,116 ₹ High / Low 1,519 ₹
Stock P/E 21.6 Book Value 418 ₹ Dividend Yield 0.47 % ROCE 11.1 %
ROE 15.7 % Face Value 2.00 ₹ DMA 50 1,100 ₹ DMA 200 1,129 ₹
Chg in FII Hold 4.90 % Chg in DII Hold -0.09 % PAT Qtr 149 Cr. PAT Prev Qtr 140 Cr.
RSI 53.2 MACD -6.49 Volume 1,85,413 Avg Vol 1Wk 2,38,843
Low price 894 ₹ High price 1,519 ₹ PEG Ratio 0.65 Debt to equity 2.43
52w Index 35.6 % Qtr Profit Var 42.8 % EPS 51.8 ₹ Industry PE 15.3

📈 Chart Patterns: HOMEFIRST is trading near its support zone (₹1,100–₹1,116). The broader structure shows weakness with repeated failures to cross resistance at ₹1,129 (DMA 200), reflecting consolidation.

📊 Moving Averages: Current price (₹1,116) is slightly above DMA 50 (₹1,100) but below DMA 200 (₹1,129), indicating short-term stability but medium-term weakness.

📉 RSI: At 53.2, RSI is neutral, suggesting balanced momentum without strong bullish signals.

📉 MACD: Negative at -6.49, showing bearish crossover and weak momentum.

📉 Bollinger Bands: Price is near the mid-band, reflecting sideways consolidation.

📊 Volume Trends: Current volume (1.85L) is below average weekly volume (2.39L), showing reduced participation and lack of strong buying conviction.

Short-Term Momentum Signals: Neutral-to-bearish momentum; rebound possible only if price sustains above ₹1,129 with volume support.

🎯 Entry Zone: ₹1,080–₹1,100 (support region).

🎯 Exit Zone: ₹1,140–₹1,160 (resistance zone).

🔀 Trend Status: Consolidating with bearish undertone; reversal possible only if price sustains above ₹1,129.


Positive

  • EPS at ₹51.8 supports earnings visibility.
  • Quarterly PAT improved from ₹140 Cr. to ₹149 Cr. (+42.8% YoY growth).
  • FII holdings increased (+4.90%), showing foreign investor confidence.
  • PEG ratio at 0.65 indicates fair valuation relative to growth.

Limitation

  • Price trading below DMA 200 signals weakness.
  • Debt-to-equity ratio at 2.43 adds financial leverage risk.
  • Dividend yield at 0.47% is modest.
  • Volume participation weaker than average, limiting breakout potential.

Company Negative News

  • DII holdings decreased (-0.09%), showing reduced domestic support.
  • MACD negative, confirming weak momentum.

Company Positive News

  • Quarterly profit growth boosts investor sentiment.
  • FII stake increased significantly, supporting bullish outlook.
  • Stock trading near support zone offers accumulation opportunity.

Industry

  • Industry PE at 15.3 vs. HOMEFIRST PE at 21.6 shows premium valuation.
  • Housing finance sector supported by rising demand for affordable housing and credit expansion.

Conclusion

HOMEFIRST is consolidating with bearish undertones. Short-term traders may consider entry around ₹1,080–₹1,100 with exit near ₹1,140–₹1,160. Long-term investors should monitor debt levels and sector demand before fresh accumulation.

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