SBICARD - Swing Trade Analysis with AI Signals

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

Swing Trade Rating: 4.0

📊 Swing Trade Analysis: SBI Cards and Payment Services Ltd (SBICARD)

SBICARD presents a strong short-term swing trade setup, driven by bullish technical momentum and institutional interest. While valuation is stretched and leverage is high, the stock’s price action and liquidity make it attractive for tactical trading.

✅ Strengths

Technical Momentum

RSI: 69.8 → Bullish, nearing overbought.

MACD: 15.9 → Strong positive crossover.

Price above DMA50 (₹849) and DMA200 (₹841) → Confirmed uptrend.

Volume Strength

Current volume (17.89L) > 1-week average → Strong market interest.

Institutional Confidence

FII Holding ↑ 0.35%, DII Holding ↑ 0.28% → Positive sentiment.

Earnings Stability

PAT Qtr: ₹556 Cr. vs ₹534 Cr. → Stable performance.

EPS: ₹19.7 → Solid earnings base.

⚠️ Risks

Valuation Concerns

P/E: 45.2 vs Industry PE: 24.0 → Highly overvalued.

PEG Ratio: 7.76 → Expensive relative to growth.

Profitability & Leverage

ROCE: 10.4% and ROE: 14.8% → Moderate efficiency.

Debt-to-Equity: 3.26 → High leverage typical of financial services.

Dividend Yield: 0.28% → Minimal passive income.

Qtr Profit Var: -6.47% → Slight contraction in earnings.

🎯 Optimal Entry Price

Buy Zone: ₹860–₹875

Slight pullback from current levels offers better risk-reward entry near DMA50.

🚪 Exit Strategy (If Holding)

Target Exit: ₹980–₹1,000

Near recent high and psychological resistance.

Stop Loss: ₹840

Below DMA200 to manage downside risk.

This setup suits momentum-driven swing traders who can monitor RSI for signs of exhaustion and exit on strength. Let me know if you'd like help tracking this setup or setting alerts.

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