SJVN - Investment Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Investment Rating: 2.6

📊 Fundamental & Technical Analysis Summary

Metric Value Interpretation

Market Cap ₹37,821 Cr Large-cap, stable

Current Price ₹96.2 Near support zone

52W High/Low ₹154 / ₹80.5 38% off highs; weak momentum

Stock P/E 46.2 Overvalued vs industry PE (41.2)

PEG Ratio -6.81 Negative growth outlook

ROE / ROCE 5.79% / 4.87% Weak capital efficiency

Dividend Yield 1.87% Decent but not compensating for risk

Debt-to-Equity 1.91 High leverage risk

Quarterly PAT -128 Cr Sharp decline (QoQ -330%)

RSI / MACD 41.3 / -0.66 Bearish momentum

DMA 50 / 200 ₹98.1 / ₹102 Trading below key averages

📉 Entry Price Zone (If Considering Long-Term)

Ideal Accumulation Zone: ₹85–₹92

Based on technical support near ₹91.5 and 52W low of ₹80.5

1

Avoid buying above ₹100 unless strong breakout with volume confirms reversal

📈 Long-Term Investment Outlook

SJVN has delivered strong multiyear returns (353% in 5 years)

2

, but current fundamentals are not supportive of fresh long-term investment

High valuation (P/E > industry average)

Negative PEG ratio and declining profits

Weak ROE/ROCE, indicating poor capital deployment

High debt, which limits growth flexibility

Bearish technicals and recent F&O exclusion by NSE

3

Unless there’s a turnaround in profitability and debt reduction, the stock lacks long-term compounding potential.

🧭 If You Already Hold SJVN

Exit Strategy / Holding Period Guidance

Short-Term Exit: If price rebounds to ₹111–₹123 (next resistance zone)

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Stop Loss: ₹91.5 (below key support)

Hold Only If

You entered below ₹80 and are targeting 2026–2030 projections (₹190–₹320)

2

4

You believe in the renewable energy expansion thesis and can tolerate volatility

Recommended Holding Period: 12–18 months only if quarterly earnings stabilize and debt is reduced.

Would you like a comparison with peers like NHPC or Adani Green to see if there's a better alternative in the renewable space?

1

in.tradingview.com

2

stockpricearchive.com

3

www.bajajbroking.in

4

tradewatch360.com

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