KIMS - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.6
| Stock Code | KIMS | Market Cap | 24,696 Cr. | Current Price | 618 ₹ | High / Low | 798 ₹ |
| Stock P/E | 86.9 | Book Value | 57.2 ₹ | Dividend Yield | 0.00 % | ROCE | 16.0 % |
| ROE | 14.0 % | Face Value | 2.00 ₹ | DMA 50 | 635 ₹ | DMA 200 | 658 ₹ |
| Chg in FII Hold | -0.70 % | Chg in DII Hold | 0.60 % | PAT Qtr | 63.7 Cr. | PAT Prev Qtr | 58.8 Cr. |
| RSI | 49.8 | MACD | -9.91 | Volume | 3,44,222 | Avg Vol 1Wk | 4,27,618 |
| Low price | 474 ₹ | High price | 798 ₹ | PEG Ratio | 290 | Debt to equity | 0.46 |
| 52w Index | 44.3 % | Qtr Profit Var | -11.8 % | EPS | 7.30 ₹ | Industry PE | 44.0 |
📊 KIMS shows limited swing trade potential at current levels. The RSI at 49.8 indicates neutrality, while MACD at -9.91 reflects bearish momentum. The PEG ratio of 290 suggests extreme overvaluation relative to growth, and the high P/E of 86.9 compared to industry average (44.0) reinforces stretched valuation. Current price (618 ₹) is below both 50 DMA (635 ₹) and 200 DMA (658 ₹), confirming medium-term weakness. Fundamentals such as ROCE (16.0%) and ROE (14.0%) are moderate, while EPS (7.30 ₹) is relatively low for the valuation.
✅ Optimal Entry Price: 600–615 ₹ (near support zone, offering margin of safety).
🚪 Exit Strategy if Holding: Consider profit booking around 640–660 ₹ (near 200 DMA resistance). Trail stop-loss near 590 ₹ to protect downside.
Positive
- 📈 ROCE (16.0%) and ROE (14.0%) show moderate capital efficiency.
- 📊 PAT growth from 58.8 Cr. to 63.7 Cr. shows incremental improvement.
- 🔒 Debt-to-equity ratio of 0.46 is manageable.
- 📊 Strong sector momentum with 52-week index gain of 44.3%.
Limitation
- ⚠️ Extremely high P/E (86.9) compared to industry average (44.0) suggests stretched valuation.
- 📉 PEG ratio of 290 indicates unsustainable growth valuation.
- 📉 Current price below both 50 DMA and 200 DMA reflects medium-term weakness.
- 📉 Dividend yield of 0.00% offers no income appeal.
- 📉 Volume (3.4L) lower than 1-week average (4.2L), showing reduced participation.
Company Negative News
- 📉 Decline in FII holding (-0.70%) signals reduced foreign investor confidence.
- ⚠️ Quarterly profit variation (-11.8%) raises concerns about earnings consistency.
Company Positive News
- 📈 Increase in DII holding (+0.60%) reflects domestic institutional support.
- 💹 PAT improved quarter-on-quarter, showing earnings growth.
Industry
- 🏭 Industry P/E at 44.0 is much lower than KIMS’s 86.9, suggesting sector valuations are more modest.
- 📊 Sector momentum remains strong with 52-week index gain of 44.3%.
Conclusion
🔎 KIMS earns a swing trade rating of 3.6. Entry near 600–615 ₹ provides margin of safety, while exit around 640–660 ₹ aligns with resistance levels. Institutional support and incremental PAT growth back the trade, but extreme valuation, weak technicals, and declining foreign investor confidence require cautious position sizing and disciplined stop-loss management.