KEC - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 3.4
| Stock Code | KEC | Market Cap | 13,993 Cr. | Current Price | 526 ₹ | High / Low | 947 ₹ |
| Stock P/E | 41.1 | Book Value | 207 ₹ | Dividend Yield | 1.05 % | ROCE | 10.6 % |
| ROE | 6.42 % | Face Value | 2.00 ₹ | DMA 50 | 531 ₹ | DMA 200 | 641 ₹ |
| Chg in FII Hold | -1.91 % | Chg in DII Hold | 1.39 % | PAT Qtr | 119 Cr. | PAT Prev Qtr | 78.7 Cr. |
| RSI | 54.3 | MACD | -4.54 | Volume | 9,95,374 | Avg Vol 1Wk | 13,67,147 |
| Low price | 466 ₹ | High price | 947 ₹ | PEG Ratio | 2.77 | Debt to equity | 0.84 |
| 52w Index | 12.4 % | Qtr Profit Var | -25.8 % | EPS | 16.1 ₹ | Industry PE | 17.4 |
KEC shows moderate potential for swing trading. Current price (₹526) is slightly below the 50 DMA (₹531) and well below the 200 DMA (₹641), reflecting short-term weakness and medium-term resistance. RSI at 54.3 indicates neutral momentum, while MACD (-4.54) suggests bearish crossover. Volume (9,95,374) is below the weekly average (13,67,147), showing reduced participation. Fundamentals are mixed: ROCE (10.6%) and ROE (6.42%) are weak, while EPS (₹16.1) supports valuation. P/E (41.1) is significantly higher than industry PE (17.4), suggesting overvaluation. Debt-to-equity (0.84) is relatively high, adding financial risk.
✅ Optimal Entry Price: ₹500–₹510 (near support zone)
📈 Exit Strategy (if already holding): Consider booking profits near ₹540–₹560 (towards 50 DMA resistance) unless momentum strengthens further.
👍 Positive
- ✅ Dividend yield of 1.05% adds shareholder value.
- ✅ EPS of ₹16.1 supports earnings strength.
- ✅ DII holding increased (+1.39%), showing domestic investor confidence.
- ✅ PAT improved sequentially (₹119 Cr vs ₹78.7 Cr).
⚠️ Limitation
- ⚠️ Current price below both 50 DMA and 200 DMA reflects weakness.
- ⚠️ High P/E (41.1) compared to industry PE (17.4) suggests overvaluation.
- ⚠️ Weak ROCE (10.6%) and ROE (6.42%) highlight poor capital efficiency.
- ⚠️ Debt-to-equity ratio (0.84) is relatively high.
- ⚠️ Volume below average, reducing breakout potential.
📰 Company Negative News
- 📉 Quarterly profit variation (-25.8%) shows earnings pressure.
- 📉 FII holding decreased (-1.91%), reflecting reduced foreign investor confidence.
🌟 Company Positive News
- 📈 Sequential PAT growth (₹119 Cr vs ₹78.7 Cr) highlights operational improvement.
- 📈 DII holding increased (+1.39%), boosting sentiment.
🏭 Industry
- 🏭 Industry P/E at 17.4 is much lower than KEC’s 41.1, suggesting sector peers trade at more reasonable valuations.
- 🏭 Sector outlook remains stable, but KEC lags in profitability metrics.
✅ Conclusion
🔎 KEC presents a cautious swing trade opportunity. Entry near ₹500–₹510 offers a safer setup, while profit booking near ₹540–₹560 is advisable. Traders should remain cautious of stretched valuations, weak fundamentals, and FII outflows despite sequential PAT improvement and DII support.
For sharper insights, you could explore support and resistance analysis, compare with industry peers, or assess valuation metrics to refine your swing trade strategy.