CUB - Swing Trade Analysis

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

Swing Trade Rating: 4.0

📈 Technical & Momentum Analysis

Current Price (₹214) is above both the 50-DMA (₹205) and 200-DMA (₹183), indicating a bullish trend.

RSI (55.2): Neutral-to-bullish — suggests room for upward movement without being overbought.

MACD (0.96): Positive — momentum is building.

Volume: Significantly above average — strong trader interest and conviction.

📊 Fundamental Overview

ROE (12.6%): Decent return on equity.

ROCE (6.86%): Low — not ideal for capital efficiency.

Debt to Equity (6.94): Very high — typical for banks but adds leverage risk.

EPS (₹15.7) vs Stock P/E (13.6): Fairly valued, slightly above Industry PE (12.2).

PEG Ratio (0.98): Reasonable — suggests fair valuation relative to growth.

Quarterly PAT Growth: Up from ₹288 Cr. to ₹306 Cr. — steady earnings momentum.

DII Holding Up (+2.16%): Strong institutional support, despite slight FII decline.

⚖️ Swing Trade Considerations

Pros

Strong technical setup above key moving averages.

Healthy volume and positive MACD.

Fair valuation with consistent earnings growth.

Institutional accumulation (DII) supports sentiment.

Cons

High leverage and low ROCE.

RSI nearing resistance zone — momentum may slow near highs.

🎯 Optimal Entry Price

Ideal Entry Zone: ₹205–₹210 — near 50-DMA and recent support. Look for confirmation via volume and MACD strength.

🚪 Exit Strategy

If Holding: Consider exiting near ₹230–₹233 — recent high and resistance zone.

Stop Loss: ₹198 — below 50-DMA to manage downside risk.

CUB shows a solid swing setup with technical strength and decent fundamentals. If you're looking to ride short-term momentum with manageable risk, this one’s worth watching closely. Want help scanning similar setups in mid-cap banking?

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