JSL - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.8
| Stock Code | JSL | Market Cap | 58,310 Cr. | Current Price | 707 ₹ | High / Low | 884 ₹ |
| Stock P/E | 21.4 | Book Value | 229 ₹ | Dividend Yield | 0.42 % | ROCE | 18.0 % |
| ROE | 15.5 % | Face Value | 2.00 ₹ | DMA 50 | 725 ₹ | DMA 200 | 741 ₹ |
| Chg in FII Hold | -0.66 % | Chg in DII Hold | -0.08 % | PAT Qtr | 746 Cr. | PAT Prev Qtr | 685 Cr. |
| RSI | 48.8 | MACD | -9.25 | Volume | 9,09,690 | Avg Vol 1Wk | 6,83,303 |
| Low price | 650 ₹ | High price | 884 ₹ | PEG Ratio | 2.02 | Debt to equity | 0.24 |
| 52w Index | 24.3 % | Qtr Profit Var | -6.58 % | EPS | 34.5 ₹ | Industry PE | 18.8 |
Jindal Stainless (JSL) shows moderate potential for swing trading. The current price of ₹707 is below both the 50 DMA (₹725) and 200 DMA (₹741), reflecting short-term weakness. RSI at 48.8 suggests neutral momentum, while MACD at -9.25 indicates bearish divergence. Fundamentals are decent with ROCE at 18.0% and ROE at 15.5%. EPS of ₹34.5 and P/E of 21.4 are slightly above industry PE of 18.8, suggesting mild overvaluation. Debt-to-equity at 0.24 is manageable. Quarterly PAT improved to ₹746 Cr. from ₹685 Cr., but profit variation (-6.58%) highlights earnings volatility. Overall, the stock is technically weak but fundamentally stable, making it a cautious swing trade candidate.
✅ Optimal Entry Price: Around ₹690–₹700 (near support zone)
📈 Exit Strategy (if already holding): Consider exiting near ₹740–₹750 (resistance zone close to 200 DMA).
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🌟 Positive
- 📈 Decent [ROCE](ca://s?q=Explain_ROCE) of 18.0% and [ROE](ca://s?q=Explain_ROE) of 15.5%.
- 📊 EPS of ₹34.5 supports profitability.
- 📉 Manageable [debt-to-equity](ca://s?q=Debt_to_equity_ratio) ratio of 0.24.
- 📈 PAT improved quarter-on-quarter (₹685 Cr. → ₹746 Cr.).
⚠️ Limitation
- 📉 Current price below DMA levels indicates technical weakness.
- 📊 MACD at -9.25 signals bearish divergence.
- 📉 Quarterly profit variation (-6.58%) highlights volatility.
- 📊 Slight overvaluation with P/E of 21.4 vs industry PE of 18.8.
📰 Company Negative News
- 📉 Decline in foreign institutional investor holdings (-0.66%).
- 📊 Weak technical indicators (below DMA, bearish MACD).
📢 Company Positive News
- 💡 Domestic institutional investors increased holdings (+0.08%).
- 📈 PAT growth quarter-on-quarter.
- 📊 Strong fundamentals with stable ROCE and ROE.
🏭 Industry
- 📊 Industry PE is 18.8, while JSL trades at 21.4, making it slightly overvalued compared to peers.
- 🏗️ Stainless steel sector benefits from infrastructure demand and industrial growth.
✅ Conclusion
JSL is a cautious swing trade candidate with entry near ₹690–₹700 and exit around ₹740–₹750. While fundamentals are stable and profitability is consistent, weak technicals and mild overvaluation limit upside. Traders should monitor momentum indicators closely before entering new positions.
Would you like me to also compare JSL’s swing trade setup with peers like Jindal Steel & Power or JSW Steel to highlight relative opportunities in the steel sector?