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HOMEFIRST - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.8

Last Updated Time : 02 Feb 26, 09:51 am

Technical Rating: 3.8

Stock Code HOMEFIRST Market Cap 11,663 Cr. Current Price 1,119 ₹ High / Low 1,519 ₹
Stock P/E 23.5 Book Value 386 ₹ Dividend Yield 0.33 % ROCE 11.4 %
ROE 16.5 % Face Value 2.00 ₹ DMA 50 1,131 ₹ DMA 200 1,168 ₹
Chg in FII Hold 0.83 % Chg in DII Hold -1.23 % PAT Qtr 140 Cr. PAT Prev Qtr 132 Cr.
RSI 49.8 MACD 14.6 Volume 1,30,105 Avg Vol 1Wk 22,48,490
Low price 839 ₹ High price 1,519 ₹ PEG Ratio 0.87 Debt to equity 2.40
52w Index 41.2 % Qtr Profit Var 44.0 % EPS 49.4 ₹ Industry PE 16.7

📊 Chart & Trend Analysis: HOMEFIRST is trading at ₹1,119, slightly below its 50 DMA (₹1,131) and 200 DMA (₹1,168), indicating short-term weakness. RSI at 49.8 suggests neutral momentum. MACD at 14.6 reflects mild bullish crossover. Current volume (1.3L) is significantly lower than the weekly average (22.4L), showing weak participation. Bollinger Bands indicate price near mid-range, reinforcing consolidation.

📈 Momentum Signals: Short-term momentum is mildly positive, supported by MACD crossover, but weak volume caps breakout potential. RSI neutrality signals sideways consolidation rather than strong trend continuation.

🎯 Entry Zone: ₹1,100 – ₹1,115 (near immediate support)

🚪 Exit Zone: ₹1,150 – ₹1,170 (near resistance at 200 DMA)

🔎 Trend Status: Consolidating with mild bullish bias. Sustained trade above ₹1,170 could trigger fresh uptrend towards ₹1,250+, while breakdown below ₹1,100 may signal reversal.


Positive

  • Strong EPS of ₹49.4 reflects consistent profitability.
  • PEG ratio of 0.87 indicates attractive valuation relative to growth.
  • Quarterly PAT growth from ₹132 Cr. to ₹140 Cr. shows earnings momentum.
  • Increase in FII holding (+0.83%) signals foreign investor confidence.

Limitation

  • Stock trading below both 50 DMA and 200 DMA signals weakness.
  • High debt-to-equity ratio (2.40) raises leverage concerns.
  • Dividend yield of 0.33% is relatively low.
  • Weak trading volume reduces conviction in recovery moves.

Company Negative News

  • Decline in DII holding (-1.23%) signals reduced domestic institutional support.

Company Positive News

  • Quarterly profit variation of 44% shows strong earnings growth.
  • Increase in FII holding reflects renewed foreign investor interest.

Industry

  • Housing finance sector benefits from rising demand for affordable housing.
  • Industry P/E at 16.7 highlights moderate sector valuation compared to HOMEFIRST’s premium.

Conclusion

⚖️ HOMEFIRST is consolidating with a mild bullish bias. Entry near ₹1,100–₹1,115 offers favorable risk-reward, while exits near ₹1,150–₹1,170 provide short-term profit booking. Strong fundamentals and attractive PEG ratio support long-term holding, but high leverage and weak volume warrant cautious positioning.

Would you like me to extend this into a peer benchmarking overlay (LIC Housing Finance, Can Fin Homes, PNB Housing Finance) so you can compare HOMEFIRST’s relative strength within the housing finance basket?

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