J&KBANK - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 4.1
| Stock Code | J&KBANK | Market Cap | 11,586 Cr. | Current Price | 105 ₹ | High / Low | 117 ₹ |
| Stock P/E | 5.39 | Book Value | 143 ₹ | Dividend Yield | 2.04 % | ROCE | 6.14 % |
| ROE | 15.7 % | Face Value | 1.00 ₹ | DMA 50 | 103 ₹ | DMA 200 | 104 ₹ |
| Chg in FII Hold | 0.29 % | Chg in DII Hold | 0.08 % | PAT Qtr | 587 Cr. | PAT Prev Qtr | 494 Cr. |
| RSI | 56.3 | MACD | 0.50 | Volume | 33,65,938 | Avg Vol 1Wk | 28,47,978 |
| Low price | 82.0 ₹ | High price | 117 ₹ | PEG Ratio | 0.09 | Debt to equity | 10.0 |
| 52w Index | 65.7 % | Qtr Profit Var | 10.4 % | EPS | 19.5 ₹ | Industry PE | 15.8 |
📊 J&K Bank (J&KBANK) presents attractive valuations with a very low P/E (5.39 vs. industry 15.8), strong ROE (15.7%), and consistent profit growth. The stock is trading above both 50 DMA (103 ₹) and 200 DMA (104 ₹), with RSI at 56.3 showing healthy momentum and MACD at 0.50 confirming mild bullishness. High debt-to-equity (10.0) is a concern, but overall, the stock is a good candidate for swing trading with moderate upside potential.
💡 Optimal Entry Price: Around 102 ₹ – 105 ₹ (near DMA support).
🚪 Exit Strategy: If already holding, consider exiting near 115 ₹ – 117 ₹ (close to 52-week high resistance) or place a stop-loss below 100 ₹.
✅ Positive
- Low P/E ratio (5.39) compared to industry average (15.8) indicates undervaluation.
- Strong ROE (15.7%) highlights efficient capital use.
- Dividend yield of 2.04% adds investor confidence.
- Quarterly PAT growth from 494 Cr. to 587 Cr. shows earnings momentum.
- EPS of 19.5 ₹ provides solid earnings visibility.
⚠️ Limitation
- High debt-to-equity ratio (10.0) raises financial risk.
- ROCE (6.14%) is modest compared to peers.
- Stock trading close to 52-week high may limit immediate upside.
📉 Company Negative News
- High leverage could impact profitability in adverse market conditions.
- Stock performance may be capped near 117 ₹ resistance.
📈 Company Positive News
- FII holdings increased (+0.29%) and DII holdings (+0.08%), showing institutional support.
- Quarterly profit variation of 10.4% highlights steady earnings growth.
- Stock trading above DMA levels, confirming bullish trend.
🏭 Industry
- Industry PE at 15.8 vs. J&KBANK PE at 5.39 suggests undervaluation compared to peers.
- Banking sector benefits from credit growth and rising demand for financial services.
🔎 Conclusion
J&K Bank is fundamentally undervalued with strong ROE and improving profits, though high debt remains a concern. Swing traders may enter near 102 ₹ – 105 ₹ with a target around 115 ₹ – 117 ₹. Stop-loss below 100 ₹ is recommended. The stock offers good swing trade potential with a rating of 4.1.