UBL - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.0
| Stock Code | UBL | Market Cap | 41,511 Cr. | Current Price | 1,569 ₹ | High / Low | 2,295 ₹ |
| Stock P/E | 98.8 | Book Value | 164 ₹ | Dividend Yield | 0.64 % | ROCE | 13.9 % |
| ROE | 10.8 % | Face Value | 1.00 ₹ | DMA 50 | 1,609 ₹ | DMA 200 | 1,731 ₹ |
| Chg in FII Hold | -0.76 % | Chg in DII Hold | 0.77 % | PAT Qtr | 92.0 Cr. | PAT Prev Qtr | 47.0 Cr. |
| RSI | 42.2 | MACD | 10.2 | Volume | 73,482 | Avg Vol 1Wk | 86,114 |
| Low price | 1,401 ₹ | High price | 2,295 ₹ | PEG Ratio | 12.4 | Debt to equity | 0.18 |
| 52w Index | 18.8 % | Qtr Profit Var | 76.8 % | EPS | 15.5 ₹ | Industry PE | 32.4 |
📊 UBL shows moderate potential for swing trading. Fundamentals are fair with EPS (15.5 ₹), ROE (10.8%), and ROCE (13.9%). Debt-to-equity is low at 0.18, reflecting financial stability. Technical indicators are mixed: RSI at 42.2 suggests neutral momentum, while MACD (10.2) signals mild bullishness. The current price (1,569 ₹) is below both the 50 DMA (1,609 ₹) and 200 DMA (1,731 ₹), indicating short-term weakness. Valuation is stretched with a very high P/E (98.8) compared to industry PE (32.4), and PEG ratio (12.4) suggests poor growth prospects. Quarterly PAT improved from 47 Cr. to 92 Cr., showing operational strength despite valuation concerns.
✅ Optimal Entry Price: Around 1,550–1,570 ₹ (near support levels).
🚪 Exit Strategy: If already holding, consider exiting near 1,600–1,620 ₹ (50 DMA resistance) unless strong breakout occurs.
🌟 Positive
- EPS of 15.5 ₹ indicates profitability.
- ROE (10.8%) and ROCE (13.9%) show fair efficiency.
- Debt-to-equity ratio of 0.18 reflects financial stability.
- Quarterly PAT nearly doubled from 47 Cr. to 92 Cr.
- DII holdings increased by 0.77%, showing domestic institutional support.
⚠️ Limitation
- Stock trades below both 50 DMA and 200 DMA, signaling weakness.
- High P/E (98.8) compared to industry PE (32.4) suggests overvaluation.
- PEG ratio (12.4) indicates poor growth prospects.
- Dividend yield is modest at 0.64%, not attractive for income investors.
📰 Company Negative News
- FII holdings decreased by -0.76%, showing reduced foreign investor confidence.
- Stock corrected sharply from its high of 2,295 ₹.
📈 Company Positive News
- Quarterly PAT surged, showing operational improvement.
- DII inflows (+0.77%) reflect domestic investor confidence.
- Low debt-to-equity ratio reduces financial risk.
🏭 Industry
- Industry PE is 32.4, much lower than UBL’s 98.8, suggesting overvaluation compared to peers.
- Beverages sector outlook remains positive, supported by demand recovery and premium product expansion.
🔎 Conclusion
UBL is a moderately suitable candidate for swing trading. Fundamentals are fair, but technical indicators show weakness and valuation is stretched. Traders may enter near 1,550–1,570 ₹ with a short-term target of 1,600–1,620 ₹. Risk management is essential due to high valuation and FII outflows, but improving profitability and sector resilience provide confidence for potential recovery.