PNB - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.8
| Stock Code | PNB | Market Cap | 1,42,305 Cr. | Current Price | 124 ₹ | High / Low | 135 ₹ |
| Stock P/E | 8.76 | Book Value | 124 ₹ | Dividend Yield | 2.34 % | ROCE | 6.30 % |
| ROE | 14.2 % | Face Value | 2.00 ₹ | DMA 50 | 123 ₹ | DMA 200 | 115 ₹ |
| Chg in FII Hold | 0.26 % | Chg in DII Hold | 0.55 % | PAT Qtr | 5,100 Cr. | PAT Prev Qtr | 4,904 Cr. |
| RSI | 50.4 | MACD | 0.14 | Volume | 1,69,03,500 | Avg Vol 1Wk | 1,95,03,300 |
| Low price | 85.5 ₹ | High price | 135 ₹ | PEG Ratio | 0.13 | Debt to equity | 12.3 |
| 52w Index | 77.3 % | Qtr Profit Var | 13.1 % | EPS | 14.1 ₹ | Industry PE | 7.79 |
📊 Analysis: PNB trades at a reasonable valuation (P/E 8.76 vs industry 7.79) with ROE at 14.2% and dividend yield of 2.34%. The current price (₹124) is aligned with its book value (₹124), offering margin-of-safety support. Technically, the stock is above both 50 DMA (₹123) and 200 DMA (₹115), showing strength. RSI at 50.4 indicates neutral momentum, while MACD (0.14) suggests mild bullish bias. Quarterly PAT improved (₹4,904 Cr → ₹5,100 Cr), reflecting earnings growth. However, high debt-to-equity (12.3) is a concern, and volume is slightly lower than weekly average. Overall, PNB is a fair candidate for swing trading with disciplined entry and exit.
💡 Optimal Entry Price: Around ₹120–₹122 (near support zone close to 50 DMA).
🚪 Exit Strategy: If already holding, consider booking profits near ₹134–₹135 (recent high resistance). Exit below ₹118 if weakness emerges to protect capital.
✅ Positive
- Reasonable valuation (P/E 8.76 vs industry 7.79).
- ROE at 14.2% supports profitability.
- Dividend yield of 2.34% adds investor appeal.
- Quarterly PAT growth of 13.1% shows earnings improvement.
- Price trading above both 50 DMA and 200 DMA.
⚠️ Limitation
- High debt-to-equity ratio (12.3) increases financial risk.
- ROCE at 6.30% is modest compared to peers.
- Volume lower than weekly average, showing reduced participation.
📉 Company Negative News
- High leverage could pressure future profitability.
- ROCE remains weak despite earnings growth.
📈 Company Positive News
- Quarterly PAT improved from ₹4,904 Cr to ₹5,100 Cr.
- EPS at ₹14.1 reflects solid earnings power.
- Institutional holdings increased (FII +0.26%, DII +0.55%).
🏭 Industry
- Industry P/E at 7.79 highlights PNB’s fair valuation.
- Banking sector benefits from credit growth and rising demand for retail loans.
🔎 Conclusion
PNB is a moderately strong swing trade candidate with fair valuation, improving profitability, and supportive technicals. Entry near ₹120–₹122 offers a good setup, with exit near ₹134–₹135. Risk management is essential due to high debt levels and modest ROCE.