KIMS - Swing Trade Analysis with AI Signals

Last Updated Time : 19 Sept 25, 2:15 pm

Swing Trade Rating: 3.5

🏥 Swing Trade Analysis: KIMS (Krishna Institute of Medical Sciences Ltd.)

KIMS shows signs of technical stability and moderate institutional interest, but its extremely high valuation and recent earnings decline make it a cautious swing trade candidate.

✅ Strengths

Technical Setup: Price ₹741 is above both 50-DMA (₹734) and 200-DMA (₹655), suggesting a bullish trend continuation.

MACD (3.08): Positive — indicates mild upward momentum.

Volume: Above weekly average — confirms active interest.

Profitability: ROCE (16.0%) and ROE (14.0%) are solid — efficient capital deployment.

Debt-to-Equity: Low at 0.33 — financially sound.

FII Sentiment: Slight increase (+0.10%) — mildly bullish.

⚠️ Weaknesses

Valuation: P/E of 101 vs industry average of 57.3 and PEG ratio of 338 — extremely overvalued.

RSI (48.0): Neutral — lacks strong momentum.

Earnings Decline: PAT dropped from ₹85.1 Cr to ₹58.8 Cr — signals softening growth.

DII Sentiment: Declined (-0.30%) — mildly bearish.

Dividend Yield: 0.00% — no income incentive.

Book Value: ₹54.2 vs current price ₹741 — trading at a steep premium.

🎯 Optimal Entry Price

Buy Zone: ₹720–₹730

Near 50-DMA support; wait for RSI to rise above 50 and MACD to strengthen.

🚪 Exit Strategy (If Holding)

Target Exit: ₹770–₹790

Near recent highs; exit if RSI crosses 65 or MACD flattens.

Stop Loss: ₹705

Below this level, trend support weakens.

⚖️ Verdict

KIMS is a moderate swing trade candidate, suitable for short-term technical plays. Entry near support and disciplined exit near resistance can work, but valuation and earnings softness demand tight risk control.

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