KARURVYSYA - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.9
| Stock Code | KARURVYSYA | Market Cap | 26,260 Cr. | Current Price | 272 ₹ | High / Low | 344 ₹ |
| Stock P/E | 11.4 | Book Value | 132 ₹ | Dividend Yield | 0.80 % | ROCE | 7.38 % |
| ROE | 17.6 % | Face Value | 2.00 ₹ | DMA 50 | 295 ₹ | DMA 200 | 253 ₹ |
| Chg in FII Hold | 1.06 % | Chg in DII Hold | 0.23 % | PAT Qtr | 690 Cr. | PAT Prev Qtr | 574 Cr. |
| RSI | 32.9 | MACD | -7.20 | Volume | 25,83,316 | Avg Vol 1Wk | 27,32,771 |
| Low price | 158 ₹ | High price | 344 ₹ | PEG Ratio | 0.27 | Debt to equity | 8.83 |
| 52w Index | 61.2 % | Qtr Profit Var | 39.1 % | EPS | 23.8 ₹ | Industry PE | 14.3 |
📊 KARURVYSYA shows good potential for swing trading. The RSI at 32.9 indicates oversold conditions, while MACD (-7.20) reflects bearish momentum. The current price (272 ₹) is below the 50 DMA (295 ₹) but above the 200 DMA (253 ₹), suggesting mixed sentiment with possible support at lower levels. Fundamentals such as ROE (17.6%), EPS (23.8 ₹), and a low P/E (11.4) compared to industry P/E (14.3) make the valuation attractive. However, the high debt-to-equity ratio (8.83) is a concern.
✅ Optimal Entry Price: Around 265–275 ₹ (near current support zone and above 200 DMA).
📈 Exit Strategy (if already holding): Consider exiting near 290–300 ₹ (close to 50 DMA resistance) unless momentum strengthens further.
Positive
- Low P/E (11.4) compared to industry P/E (14.3) suggests undervaluation.
- Strong EPS of 23.8 ₹ supports earnings strength.
- Quarterly PAT growth from 574 Cr. to 690 Cr. highlights profitability improvement.
- Dividend yield of 0.80% provides modest income support.
Limitation
- Stock trading below 50 DMA reflects short-term weakness.
- High debt-to-equity ratio (8.83) adds financial risk.
- ROCE (7.38%) is relatively low compared to peers.
- Momentum indicators (RSI and MACD) show bearish sentiment.
Company Negative News
- High leverage (debt-to-equity 8.83) raises concerns about financial stability.
Company Positive News
- FII holding increased (+1.06%), showing strong foreign investor confidence.
- DII holding increased (+0.23%), reflecting domestic institutional support.
- Quarterly profit variation of 39.1% highlights strong earnings momentum.
Industry
- Industry P/E (14.3) is slightly higher than company P/E (11.4), suggesting KARURVYSYA trades at a discount.
- Sector outlook remains positive, supported by banking growth and credit expansion.
Conclusion
⚖️ KARURVYSYA is a good candidate for swing trading with attractive valuation and improving earnings. Entry near 265–275 ₹ offers potential upside, while a short-term rebound toward 290–300 ₹ is likely. Traders should maintain strict stop-losses around 255 ₹ to manage risk given the high leverage.