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MAXHEALTH - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.6

Last Updated Time : 03 May 26, 11:24 am

Technical Rating: 3.6

Stock Code MAXHEALTH Market Cap 96,643 Cr. Current Price 993 ₹ High / Low 1,314 ₹
Stock P/E 137 Book Value 87.3 ₹ Dividend Yield 0.15 % ROCE 12.5 %
ROE 9.45 % Face Value 10.0 ₹ DMA 50 1,003 ₹ DMA 200 1,062 ₹
Chg in FII Hold -5.16 % Chg in DII Hold 5.12 % PAT Qtr 200 Cr. PAT Prev Qtr 160 Cr.
RSI 49.6 MACD 3.48 Volume 24,37,699 Avg Vol 1Wk 16,29,336
Low price 903 ₹ High price 1,314 ₹ PEG Ratio 4.35 Debt to equity 0.08
52w Index 21.9 % Qtr Profit Var 5.45 % EPS 7.10 ₹ Industry PE 47.1

📊 Max Healthcare (MAXHEALTH) is trading near its 50 DMA (₹1,003) but below its 200 DMA (₹1,062), reflecting short-term stability but long-term weakness. RSI at 49.6 indicates neutral momentum, while MACD (3.48) shows mild bullish divergence. Bollinger Bands suggest consolidation with limited breakout potential. Current volume (24.3 lakh) is above the 1-week average (16.3 lakh), showing strong participation despite weak trend strength.

💡 Optimal Entry: ₹950–₹980 (near support zone)

🚪 Exit if Holding: Profit-taking zone around ₹1,250–₹1,280; Stop-loss below ₹930

📈 Trend Status: Consolidating with neutral bias

✅ Positive

  • Quarterly PAT growth (₹160 Cr → ₹200 Cr)
  • DII holdings increased significantly (+5.12%)
  • EPS at ₹7.10 supports profitability visibility
  • Low debt-to-equity ratio (0.08)
  • ROE (9.45%) and ROCE (12.5%) show moderate efficiency

⚠️ Limitation

  • Trading below 200 DMA, limiting long-term upside
  • High valuation (P/E 137 vs industry 47.1)
  • PEG ratio at 4.35 indicates poor growth-adjusted valuation
  • Dividend yield remains weak (0.15%)
  • FII holdings decreased (-5.16%)

📉 Company Negative News

  • Valuation concerns due to high P/E multiples
  • Decline in foreign institutional participation
  • Weak dividend yield

📈 Company Positive News

  • Quarterly PAT growth supports earnings momentum
  • DII accumulation signals domestic investor confidence
  • Debt-light balance sheet ensures financial stability

🏭 Industry

  • Healthcare sector average PE at 47.1, MAXHEALTH trades at a premium (137)
  • Sector outlook stable with steady demand but valuation pressures

🔎 Conclusion

MAXHEALTH is consolidating with neutral momentum and mild bullish signals. Entry near ₹950–₹980 offers a controlled risk setup, while exits around ₹1,250–₹1,280 are advisable. Strong PAT growth, DII support, and low debt are positives, but stretched valuations and declining FII holdings limit attractiveness. Suitable for cautious swing trades; long-term investors should wait for valuation normalization and sustained strength above 200 DMA.

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