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M&MFIN - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.3

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

Technical Rating: 3.3

Stock Code M&MFIN Market Cap 49,824 Cr. Current Price 359 ₹ High / Low 412 ₹
Stock P/E 19.4 Book Value 166 ₹ Dividend Yield 1.81 % ROCE 9.02 %
ROE 12.3 % Face Value 2.00 ₹ DMA 50 357 ₹ DMA 200 312 ₹
Chg in FII Hold -0.48 % Chg in DII Hold 0.05 % PAT Qtr 899 Cr. PAT Prev Qtr 569 Cr.
RSI 46.6 MACD 0.22 Volume 16,30,921 Avg Vol 1Wk 27,57,183
Low price 232 ₹ High price 412 ₹ PEG Ratio 0.58 Debt to equity 4.99
52w Index 70.3 % Qtr Profit Var -0.02 % EPS 17.8 ₹ Industry PE 18.9

📊 Chart Patterns & Trend: M&MFIN is trading at 359 ₹, slightly above its 50 DMA (357 ₹) and well above its 200 DMA (312 ₹). This indicates a consolidation phase with mild bullish bias. The stock is closer to its 52-week high (412 ₹) than its low (232 ₹), reflecting stable sentiment.

📈 RSI: At 46.6, RSI is neutral, suggesting balanced momentum without strong overbought or oversold signals.

📉 MACD: Positive at 0.22, showing mild bullish crossover but not a strong trend confirmation.

📊 Bollinger Bands: Price is near the mid-band, indicating consolidation with limited volatility expansion.

📊 Volume Trends: Current volume (16,30,921) is lower than average weekly volume (27,57,183), showing reduced participation and lack of strong conviction in recent moves.

🎯 Entry Zone: 345–355 ₹ (near 50 DMA support).

🎯 Exit Zone: 400–410 ₹ (near resistance and 52-week high).


Positive

  • Market cap of 49,824 Cr. reflects strong presence in NBFC sector.
  • Stock P/E of 19.4 is aligned with industry PE of 18.9, showing fair valuation.
  • Dividend yield of 1.81% provides income return.
  • EPS at 17.8 ₹ supports earnings visibility.
  • Quarterly PAT improved to 899 Cr. from 569 Cr., showing sequential growth.
  • DII holdings increased slightly (+0.05%), showing domestic institutional support.

Limitation

  • ROCE (9.02%) and ROE (12.3%) are modest, limiting long-term compounding potential.
  • Debt-to-equity ratio at 4.99 is high, reflecting leveraged balance sheet.
  • Quarterly profit variance (-0.02%) indicates flat year-on-year growth.
  • FII holdings decreased (-0.48%), showing reduced foreign investor confidence.
  • Trading volumes are lower than average, reducing conviction in price action.

Company Negative News

  • Flat quarterly profit variance (-0.02%) highlights limited growth momentum.
  • FII stake reduction shows declining foreign investor confidence.
  • High debt-to-equity ratio raises concerns about leverage risk.

Company Positive News

  • Sequential PAT growth (899 Cr. vs 569 Cr.) indicates operational improvement.
  • DII stake increase reflects domestic investor confidence.
  • Dividend yield of 1.81% provides attractive returns for income-focused investors.

Industry

  • NBFC sector trading at industry PE of 18.9, making M&MFIN fairly valued at P/E of 19.4.
  • Sector outlook remains positive with rising demand for retail and rural financing.

Conclusion

⚖️ M&MFIN is in a consolidation phase with neutral RSI and mildly positive MACD. Entry near 345–355 ₹ offers margin of safety, while exits around 400–410 ₹ provide profit-taking opportunities. Long-term investors should be cautious due to high leverage and modest ROE/ROCE, while short-term traders may exploit consolidation breakouts for swing trades.

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