PFC - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.8
| Stock Code | PFC | Market Cap | 1,42,317 Cr. | Current Price | 431 ₹ | High / Low | 486 ₹ |
| Stock P/E | 7.10 | Book Value | 311 ₹ | Dividend Yield | 3.67 % | ROCE | 9.93 % |
| ROE | 20.7 % | Face Value | 10.0 ₹ | DMA 50 | 435 ₹ | DMA 200 | 411 ₹ |
| Chg in FII Hold | 1.31 % | Chg in DII Hold | -0.43 % | PAT Qtr | 6,325 Cr. | PAT Prev Qtr | 4,763 Cr. |
| RSI | 42.6 | MACD | -2.59 | Volume | 36,67,900 | Avg Vol 1Wk | 49,70,950 |
| Low price | 330 ₹ | High price | 486 ₹ | PEG Ratio | 0.36 | Debt to equity | 4.85 |
| 52w Index | 64.6 % | Qtr Profit Var | 23.8 % | EPS | 60.8 ₹ | Industry PE | 18.8 |
📈 Trend Analysis: PFC is trading at ₹431, slightly below the 50 DMA (₹435) but above the 200 DMA (₹411). This suggests short-term weakness but medium-term support remains intact. The stock has corrected from its 52-week high of ₹486 and is consolidating near support levels.
📊 RSI: At 42.6, RSI indicates the stock is in a neutral-to-weak zone, closer to oversold conditions, which may limit further downside.
📉 MACD: Negative MACD (-2.59) confirms bearish momentum in the short term, aligning with price weakness below the 50 DMA.
📌 Bollinger Bands: Price is near the lower band, suggesting possible consolidation or rebound if support holds.
🔎 Volume Trends: Current volume (36,67,900) is below the 1-week average (49,70,950), showing reduced participation, which reflects cautious sentiment.
💡 Momentum Signals: Short-term momentum is weak. Optimal entry zone lies near ₹415–₹420 support levels. Exit/resistance zone is around ₹445–₹455, where selling pressure may emerge.
📌 Market Phase: The stock is consolidating with a bearish bias, attempting to stabilize near support after recent declines.
Positive
- 🚀 Strong quarterly PAT growth (₹6,325 Cr vs ₹4,763 Cr), up 23.8%.
- 📊 EPS of ₹60.8 reflects solid earnings power.
- 💰 Attractive dividend yield of 3.67% provides income stability.
- 📈 ROE at 20.7% indicates strong shareholder returns.
- 🌍 FII holdings increased by 1.31%, showing foreign investor confidence.
Limitation
- ⚠️ Current price below 50 DMA, signaling short-term weakness.
- 📉 ROCE at 9.93% is modest compared to peers.
- 🔎 Lower trading volume indicates reduced momentum.
Company Negative News
- 📉 High debt-to-equity ratio (4.85), raising leverage concerns.
- ⚠️ DII holdings decreased by 0.43%, showing reduced domestic institutional interest.
Company Positive News
- 📈 Quarterly PAT growth of 23.8% highlights operational strength.
- 💡 Strong EPS supports long-term earnings visibility.
- 🔒 Dividend yield of 3.67% adds investor appeal.
Industry
- 🏭 Industry PE at 18.8, much higher than PFC’s 7.1, indicating undervaluation.
- 📊 Sector benefits from infrastructure and power financing demand.
Conclusion
⚖️ PFC is consolidating with short-term weakness but strong fundamentals. Attractive valuation (P/E 7.1 vs industry 18.8) and high dividend yield make it appealing for long-term investors. Strategy: consider entry near ₹415–₹420 support zones and book profits around ₹445–₹455 resistance. The stock is consolidating with potential for reversal if volumes improve.