JKCEMENT - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.7
| Stock Code | JKCEMENT | Market Cap | 44,012 Cr. | Current Price | 5,700 ₹ | High / Low | 7,566 ₹ |
| Stock P/E | 40.1 | Book Value | 833 ₹ | Dividend Yield | 0.26 % | ROCE | 14.5 % |
| ROE | 14.6 % | Face Value | 10.0 ₹ | DMA 50 | 5,705 ₹ | DMA 200 | 5,768 ₹ |
| Chg in FII Hold | -0.68 % | Chg in DII Hold | 0.75 % | PAT Qtr | 211 Cr. | PAT Prev Qtr | 176 Cr. |
| RSI | 52.7 | MACD | -29.9 | Volume | 44,949 | Avg Vol 1Wk | 1,07,369 |
| Low price | 4,219 ₹ | High price | 7,566 ₹ | PEG Ratio | 9.37 | Debt to equity | 0.99 |
| 52w Index | 44.3 % | Qtr Profit Var | 5.47 % | EPS | 143 ₹ | Industry PE | 30.8 |
📊 JK Cement (JKCEMENT) shows stable fundamentals with moderate ROCE (14.5%) and ROE (14.6%), but valuations are stretched (P/E 40.1 vs. industry 30.8) and debt levels are relatively high (0.99). Technically, the stock is trading close to its 50 DMA (5,705 ₹) and 200 DMA (5,768 ₹), with RSI at 52.7 indicating neutral momentum. MACD at -29.9 signals bearish pressure. Overall, it is a fair candidate for swing trading but requires cautious entry and strict stop-loss management.
💡 Optimal Entry Price: Around 5,650 ₹ – 5,700 ₹ (near DMA support).
🚪 Exit Strategy: If already holding, consider exiting near 5,750 ₹ – 5,800 ₹ (resistance at 200 DMA) or place a stop-loss below 5,600 ₹.
✅ Positive
- Quarterly PAT growth from 176 Cr. to 211 Cr. shows earnings improvement.
- ROCE (14.5%) and ROE (14.6%) reflect stable capital efficiency.
- DII holdings increased (+0.75%), showing domestic institutional support.
- EPS of 143 ₹ provides earnings visibility.
⚠️ Limitation
- High P/E ratio (40.1) compared to industry average (30.8) indicates overvaluation.
- PEG ratio of 9.37 suggests weak growth prospects relative to valuation.
- MACD at -29.9 signals bearish momentum.
- Trading volume (44,949) lower than average (1,07,369), showing reduced activity.
📉 Company Negative News
- Decline in FII holding (-0.68%) reflects reduced foreign investor confidence.
- Stock significantly below 52-week high (7,566 ₹), showing weakness in price action.
📈 Company Positive News
- Quarterly profit variation of 5.47% highlights steady earnings growth.
- Stock trading near DMA levels, offering potential support for swing entry.
🏭 Industry
- Industry PE at 30.8 vs. JKCEMENT PE at 40.1 suggests overvaluation compared to peers.
- Cement sector benefits from infrastructure demand but faces margin pressures from input costs.
🔎 Conclusion
JK Cement is fundamentally stable but technically weak with stretched valuations. Swing traders may enter near 5,650 ₹ – 5,700 ₹ with a target around 5,750 ₹ – 5,800 ₹. Stop-loss below 5,600 ₹ is recommended. The stock offers moderate swing trade potential with a rating of 3.7.