KEI - Swing Trade Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Swing Trade Rating: 4.5

⚡ KEI Industries Ltd (KEI) Swing Trade Analysis

KEI Industries is showing strong bullish momentum supported by technical indicators and institutional buying. Despite a high valuation, the stock is in a continuation pattern with potential for short-term upside, making it a solid swing trade candidate.

✅ Strengths

Technical Momentum

RSI: 58.9 — bullish but not overbought

MACD: +65.2 — strong upward momentum

Price above both 50 DMA (₹3,719) and 200 DMA (₹3,664) — confirms uptrend

Fundamentals

ROCE: 21.3% and ROE: 15.6% — strong operational efficiency

Debt-to-equity: 0.04 — virtually debt-free

EPS: ₹78.6 — robust earnings

PAT Qtr: ₹196 Cr — solid profitability

Institutional Sentiment

FII holding ↑ 0.76%

DII holding ↑ 2.12% — strong institutional accumulation

52-Week Index: +63.6% — excellent relative strength

⚠️ Weaknesses

Valuation

P/E: 50.5 vs industry average of 30.3 — richly valued

Book Value: ₹606 vs current price ₹3,922 — trading at 6.5x book

Dividend Yield: 0.10% — negligible income support

Volume: Current volume (1.33L) is significantly below weekly average (4.06L) — needs confirmation of breakout

🎯 Optimal Entry Price

Entry Zone: ₹3,880–₹3,920

Near breakout level and pivot zone

Confirm entry if RSI crosses 60 and MACD remains positive

Look for strong bullish candle with volume pickup

🚪 Exit Strategy (If Already Holding)

Short-Term Target: ₹4,100–₹4,200

Based on resistance and Fibonacci extension levels

Stop Loss: ₹3,780

Below 50 DMA and recent support zone

📌 Summary

KEI Industries is a technically strong, fundamentally sound stock with bullish continuation potential. Entry near ₹3,880–₹3,920 offers a favorable swing setup. If already holding, consider exiting near ₹4,100–₹4,200 or trail stop loss to ₹3,780.

Would you like to explore similar setups in the electricals or infrastructure sector like Polycab or Havells?

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