J&KBANK - Swing Trade Analysis with AI Signals

Last Updated Time : 05 Nov 25, 7:43 am

Swing Trade Rating: 3.9

📈 J&K Bank offers strong valuation and stable earnings, with neutral technicals and moderate upside potential.

🎯 Optimal Entry Price: ₹102–₹104

🚪 Exit Target (if already holding): ₹114–₹117

🔍 Positive

• 📉 P/E of 5.53 is significantly below industry average (14.6), indicating undervaluation.
• 📈 EPS of ₹19.0 and ROE of 15.7% reflect strong profitability.
• 📈 Dividend yield of 2.04% adds passive income appeal.
• 📊 MACD at 0.73 suggests mild bullish momentum.
• 📈 Price near 50 DMA and 200 DMA (₹105 and ₹104), offering technical support.

⚠️ Limitation

• 📉 RSI at 49.0 is neutral, lacking strong directional bias.
• 📉 Volume slightly below weekly average (24.38L vs 28.52L), showing moderate interest.
• 📉 ROCE of 6.14% is modest, limiting capital efficiency.
• 📉 Debt-to-equity ratio of 10.2 is high, typical for banks but worth monitoring.

📉 Company Negative News

• 📉 Quarterly profit variation of -10.3% indicates earnings volatility.
• 📉 FII and DII holdings declined (-0.16% and -0.11%), reflecting cautious institutional sentiment.

📈 Company Positive News

• 🏦 PAT remained strong at ₹494 Cr, showing consistent performance.
• 📈 Bank continues to expand its retail and MSME lending portfolio.
• 📈 Strong EPS and dividend yield support investor confidence.

🏦 Industry

• 🏦 Banking sector benefits from rising credit demand and digital transformation.
• 📉 Regulatory risks and NPA management remain key challenges.

✅ Conclusion

• 📈 J&K Bank is a good swing trade candidate with strong valuation and stable earnings.
• 🎯 Entry near ₹102–₹104 with exit around ₹114–₹117 is ideal for short-term traders.
• 📊 Long-term investors should monitor asset quality and institutional flows for sustained growth.

I can also compare J&K Bank with peers like Federal Bank or IDFC First to find stronger swing setups.