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JMFINANCIL - Swing Trade Analysis with AI Signals

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Rating: 3.6

Last Updated Time : 05 Feb 26, 02:16 am

Swing Trade Rating: 3.6

Stock Code JMFINANCIL Market Cap 12,614 Cr. Current Price 132 ₹ High / Low 200 ₹
Stock P/E 21.7 Book Value 48.0 ₹ Dividend Yield 2.04 % ROCE 12.8 %
ROE 12.6 % Face Value 1.00 ₹ DMA 50 140 ₹ DMA 200 145 ₹
Chg in FII Hold -0.67 % Chg in DII Hold 0.15 % PAT Qtr 246 Cr. PAT Prev Qtr 133 Cr.
RSI 46.7 MACD -4.49 Volume 24,72,672 Avg Vol 1Wk 28,98,822
Low price 78.0 ₹ High price 200 ₹ PEG Ratio 1.20 Debt to equity 0.01
52w Index 44.2 % Qtr Profit Var -20.4 % EPS 6.11 ₹ Industry PE 19.9

📊 JM Financial (JMFINANCIL) shows moderate fundamentals with decent ROCE (12.8%) and ROE (12.6%), low debt, and a healthy dividend yield (2.04%). However, the stock is trading below both 50 DMA (140 ₹) and 200 DMA (145 ₹), with RSI at 46.7 indicating neutral momentum and MACD at -4.49 showing bearish pressure. Valuation is slightly above industry average (P/E 21.7 vs. 19.9). Overall, it is a fair candidate for swing trading but requires cautious entry and strict stop-loss management.

💡 Optimal Entry Price: Around 128 ₹ – 132 ₹ (near current support zone).

🚪 Exit Strategy: If already holding, consider exiting near 140 ₹ – 145 ₹ (resistance at DMA levels) or place a stop-loss below 125 ₹.

✅ Positive

  • Low debt-to-equity ratio (0.01) ensures financial stability.
  • Dividend yield of 2.04% adds investor confidence.
  • Quarterly PAT improved from 133 Cr. to 246 Cr., showing earnings momentum.
  • DII holdings increased (+0.15%), reflecting domestic institutional support.

⚠️ Limitation

  • Stock trading below both 50 DMA and 200 DMA indicates short-term weakness.
  • MACD at -4.49 signals bearish momentum.
  • Quarterly profit variation (-20.4%) shows earnings volatility.
  • Trading volume (24.7 lakh) lower than average (28.9 lakh), showing reduced activity.

📉 Company Negative News

  • Decline in FII holding (-0.67%) reflects reduced foreign investor confidence.
  • Stock significantly below 52-week high (200 ₹), showing weakness in price action.

📈 Company Positive News

  • EPS of 6.11 ₹ provides earnings visibility.
  • Stock trading near support levels, offering potential for rebound.

🏭 Industry

  • Industry PE at 19.9 vs. JMFINANCIL PE at 21.7 suggests slight overvaluation compared to peers.
  • Financial services sector remains resilient, supported by credit growth and capital market activity.

🔎 Conclusion

JM Financial is fundamentally stable with low debt and decent profitability, but technicals show weakness and valuations are slightly stretched. Swing traders may enter near 128 ₹ – 132 ₹ with a target around 140 ₹ – 145 ₹. Stop-loss below 125 ₹ is recommended. The stock offers moderate swing trade potential with a rating of 3.6.

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