J&KBANK - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 4.0
| Stock Code | J&KBANK | Market Cap | 17,949 Cr. | Current Price | 163 ₹ | High / Low | 167 ₹ |
| Stock P/E | 7.59 | Book Value | 152 ₹ | Dividend Yield | 1.32 % | ROCE | 5.83 % |
| ROE | 15.2 % | Face Value | 1.00 ₹ | DMA 50 | 140 ₹ | DMA 200 | 120 ₹ |
| Chg in FII Hold | 0.21 % | Chg in DII Hold | 0.16 % | PAT Qtr | 798 Cr. | PAT Prev Qtr | 587 Cr. |
| RSI | 73.6 | MACD | 7.37 | Volume | 36,38,293 | Avg Vol 1Wk | 41,61,396 |
| Low price | 97.4 ₹ | High price | 167 ₹ | PEG Ratio | 0.30 | Debt to equity | 10.1 |
| 52w Index | 93.9 % | Qtr Profit Var | 36.5 % | EPS | 21.5 ₹ | Industry PE | 15.4 |
Jammu & Kashmir Bank (J&KBANK) shows strong potential for swing trading. The current price of ₹163 is above both the 50 DMA (₹140) and 200 DMA (₹120), reflecting bullish momentum. RSI at 73.6 indicates overbought conditions, while MACD at 7.37 confirms positive sentiment. Fundamentals are attractive with ROE at 15.2% and a very low P/E of 7.59 compared to industry PE of 15.4, suggesting undervaluation. EPS of ₹21.5 and quarterly PAT growth (₹587 Cr. to ₹798 Cr.) highlight earnings strength. However, debt-to-equity at 10.1 raises leverage concerns. Overall, the stock offers strong momentum but requires caution due to high debt and overbought signals.
✅ Optimal Entry Price: Around ₹155–₹160 (near support zone)
📈 Exit Strategy (if already holding): Consider exiting near ₹165–₹167 (recent high resistance zone).
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🌟 Positive
- 📈 Strong [ROE](ca://s?q=Explain_ROE) of 15.2% and improving profitability.
- 📊 Low [P/E ratio](ca://s?q=Explain_PE_ratio) of 7.59 compared to industry PE of 15.4, suggesting undervaluation.
- 💰 Dividend yield of 1.32% provides income support.
- 📈 Quarterly profit growth of 36.5% highlights earnings momentum.
- 💡 Institutional support with FII (+0.21%) and DII (+0.16%) increases.
⚠️ Limitation
- 📉 Very high [debt-to-equity](ca://s?q=Debt_to_equity_ratio) ratio of 10.1 raises financial risk.
- 📊 RSI at 73.6 indicates overbought conditions, limiting immediate upside.
- 📉 ROCE at 5.83% is relatively weak compared to peers.
📰 Company Negative News
- 📉 High leverage with debt-to-equity at 10.1.
- 📊 Overbought technical signals may trigger short-term corrections.
📢 Company Positive News
- 📈 Strong quarterly profit growth from ₹587 Cr. to ₹798 Cr.
- 💡 Institutional investors increased holdings.
- 📊 Attractive valuation compared to industry peers.
🏭 Industry
- 🏦 Banking sector benefits from credit growth and economic expansion.
- 📊 Industry PE of 15.4 is higher than J&KBANK’s 7.59, suggesting undervaluation.
✅ Conclusion
J&KBANK is a strong swing trade candidate with undervaluation, earnings growth, and institutional support. Entry near ₹155–₹160 offers a favorable setup, with exit targets around ₹165–₹167. Traders should be cautious of high debt and overbought conditions but may benefit from short-term momentum and strong fundamentals.
Would you like me to also compare J&KBANK’s swing trade setup with other banking stocks like PNB or Bank of Baroda to evaluate relative opportunities?