M&MFIN - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

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Technical Rating: 4.5

Technical Analysis Summary

• Trend: Trending upward with strong momentum
• Moving Averages: Price (₹316) is well above DMA 50 (₹283) and DMA 200 (₹272), confirming bullish trend
• RSI (75.2): Overbought zone, caution for short-term pullback
• MACD (8.85): Bullish crossover, supporting upward momentum
• Bollinger Bands: Price near upper band, indicating strength but potential resistance
• Volume: Below average (42.5L vs 72.5L), suggesting reduced participation at highs

Entry & Exit Zones

• Support: ₹300 – ₹305 (recent breakout zone)
• Resistance: ₹330 – ₹335 (52-week high zone)
• Optimal Entry: ₹305 – ₹310 on pullback with volume confirmation
• Exit Zone: ₹330 – ₹335 if price stalls near resistance

Positive

• Strong quarterly PAT growth of 54.1%
• PEG ratio of 0.52 indicates undervaluation relative to growth
• EPS of ₹18.4 and attractive dividend yield of 2.08%
• Price up 86.2% in the past year

Limitation

• RSI in overbought zone may trigger short-term correction
• Volume declining despite price rise
• High debt-to-equity ratio (4.99) raises leverage concerns
• ROCE (9.02%) below industry average

Company Negative News

• Concerns over asset quality and rising credit costs in NBFC sector

Company Positive News

• Strong earnings momentum and improving rural demand outlook
• Positive FII sentiment with 0.26% increase in holdings

Industry

• M&MFIN operates in the NBFC sector under financial services
• Peers include Bajaj Finance, Shriram Finance, and Cholamandalam Investment

Conclusion

M&MFIN is trending upward with strong technical indicators and bullish price action. While RSI suggests caution for short-term traders, long-term fundamentals and valuation remain attractive. Ideal entry near ₹305 with targets around ₹330–₹335.