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UNIONBANK - IntraDay Trade Analysis with Live Signals

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Rating: 3.5

Last Updated Time : 03 May 26, 09:03 am

IntraDay Trade Rating: 3.5

Stock Code UNIONBANK Market Cap 1,26,672 Cr. Current Price 166 ₹ High / Low 205 ₹
Stock P/E 6.77 Book Value 168 ₹ Dividend Yield 2.86 % ROCE 6.31 %
ROE 15.5 % Face Value 10.0 ₹ DMA 50 179 ₹ DMA 200 162 ₹
Chg in FII Hold 1.23 % Chg in DII Hold -0.40 % PAT Qtr 5,316 Cr. PAT Prev Qtr 5,017 Cr.
RSI 36.6 MACD -2.36 Volume 1,84,14,984 Avg Vol 1Wk 2,48,62,050
Low price 113 ₹ High price 205 ₹ PEG Ratio 0.22 Debt to equity 10.8
52w Index 57.4 % Qtr Profit Var 6.64 % EPS 24.5 ₹ Industry PE 7.99

📈 Optimal Buy Price: 164 – 167 ₹ (near 200 DMA support)

💰 Profit Exit Levels: 172 – 176 ₹ (short-term resistance), 182 ₹ (momentum breakout)

⚠️ Stop-Loss: 160 ₹ (below support zone)

Intraday Exit Guidance: If already holding, consider booking profits near 172–176 ₹ if RSI approaches 40–42 or volume weakens. Exit immediately if price slips under 164 ₹ with declining momentum.

Positive

  • EPS of 24.5 ₹ supports earnings visibility.
  • PAT improved (5,316 Cr. vs 5,017 Cr.), showing earnings momentum.
  • Dividend yield of 2.86% adds investor appeal.
  • Price above 200 DMA (162 ₹), offering medium-term support.
  • FII holdings increased (+1.23%), showing foreign investor confidence.
  • PEG ratio at 0.22 indicates attractive valuation relative to growth.

Limitation

  • ROCE at 6.31% reflects modest efficiency.
  • RSI at 36.6 indicates weak momentum, close to oversold territory.
  • MACD negative (-2.36), suggesting bearish bias.
  • Volume (1.84 Cr.) below weekly average (2.48 Cr.), showing weaker participation.
  • DII holdings decreased (-0.40%), showing reduced domestic institutional support.
  • Debt-to-equity ratio at 10.8 highlights high leverage risk.

Company Negative News

  • High leverage raises caution for sustained performance.
  • Decline in domestic institutional confidence may weigh on sentiment.

Company Positive News

  • PAT growth (+6.64%) highlights strong quarterly performance.
  • EPS remains robust, supporting valuation stability.
  • FII inflows reflect confidence in fundamentals.

Industry

  • Industry PE at 7.99 is slightly higher than UNIONBANK’s 6.77, suggesting relative undervaluation.
  • Banking sector outlook remains competitive with margin pressures and regulatory challenges.

Conclusion

⚖️ UNIONBANK shows moderate intraday potential with earnings support and foreign inflows. However, weak momentum, high leverage, and declining domestic participation limit conviction. Suitable for cautious intraday trades targeting 172–182 ₹ with strict stop-loss at 160 ₹.

Would you like me to extend this into a public sector banking overlay comparing UNIONBANK against peers like PNB, Bank of India, and Canara Bank for sharper benchmarking?

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