KEI - Swing Trade Analysis with AI Signals
Back to List📊 Swing Trade Rating: 4.2
| Stock Code | KEI | Market Cap | 48,366 Cr. | Current Price | 5,058 ₹ | High / Low | 5,303 ₹ |
| Stock P/E | 56.2 | Book Value | 647 ₹ | Dividend Yield | 0.09 % | ROCE | 21.3 % |
| ROE | 15.6 % | Face Value | 2.00 ₹ | DMA 50 | 4,569 ₹ | DMA 200 | 4,257 ₹ |
| Chg in FII Hold | 1.78 % | Chg in DII Hold | -1.44 % | PAT Qtr | 235 Cr. | PAT Prev Qtr | 204 Cr. |
| RSI | 66.4 | MACD | 155 | Volume | 6,76,369 | Avg Vol 1Wk | 5,07,248 |
| Low price | 3,051 ₹ | High price | 5,303 ₹ | PEG Ratio | 2.47 | Debt to equity | 0.04 |
| 52w Index | 89.1 % | Qtr Profit Var | 42.5 % | EPS | 90.0 ₹ | Industry PE | 24.4 |
Analysis: KEI shows strong swing trade potential. The current price (₹5,058) is well above both the 50 DMA (₹4,569) and 200 DMA (₹4,257), confirming bullish momentum. RSI at 66.4 indicates the stock is approaching overbought territory, while MACD (155) reflects strong upward momentum. Fundamentals are solid with ROCE (21.3%), ROE (15.6%), and very low debt-to-equity (0.04). Quarterly PAT growth (₹204 Cr → ₹235 Cr) highlights earnings strength. However, the high P/E (56.2) compared to industry average (24.4) and PEG ratio (2.47) raise valuation concerns. Strong trading volume above average supports swing opportunities.
Optimal Entry Price: ₹4,950–5,000, ideally on minor pullbacks near support.
Exit Strategy (if already holding): Consider booking profits around ₹5,200–5,250. If momentum sustains, partial exit can be extended toward ₹5,300 (recent high).
✅ Positive
- Strong ROCE (21.3%) and ROE (15.6%) reflect efficient capital use.
- Low debt-to-equity (0.04) ensures financial stability.
- Quarterly PAT growth of 42.5% shows robust earnings momentum.
- FII holdings increased (+1.78%), signaling foreign investor confidence.
⚠️ Limitation
- High P/E (56.2) compared to industry average (24.4).
- PEG ratio of 2.47 suggests valuation concerns.
- RSI at 66.4 indicates nearing overbought levels.
📰 Company Negative News
- Valuation appears stretched compared to industry peers.
- DII holdings decreased (-1.44%), showing reduced domestic institutional interest.
🌟 Company Positive News
- Sequential PAT growth (₹204 Cr → ₹235 Cr) highlights strong performance.
- Strong fundamentals with low debt and high efficiency ratios.
- FII inflows support investor sentiment.
🏭 Industry
- Industry P/E at 24.4, much lower than KEI’s 56.2, suggesting premium valuation.
- Sector growth remains supportive, with KEI positioned strongly in its segment.
📌 Conclusion
KEI is a strong candidate for swing trading with entry around ₹4,950–5,000 and exit near ₹5,200–5,250. Momentum indicators are bullish, but high valuation and overbought RSI warrant caution. Best suited for disciplined traders with strict stop-loss management.