UCOBANK - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.3
| Stock Code | UCOBANK | Market Cap | 36,051 Cr. | Current Price | 28.7 ₹ | High / Low | 43.6 ₹ |
| Stock P/E | 13.8 | Book Value | 26.5 ₹ | Dividend Yield | 1.36 % | ROCE | 5.76 % |
| ROE | 8.38 % | Face Value | 10.0 ₹ | DMA 50 | 29.4 ₹ | DMA 200 | 31.8 ₹ |
| Chg in FII Hold | 0.00 % | Chg in DII Hold | -0.10 % | PAT Qtr | 740 Cr. | PAT Prev Qtr | 620 Cr. |
| RSI | 46.8 | MACD | -0.23 | Volume | 54,43,151 | Avg Vol 1Wk | 69,56,710 |
| Low price | 26.8 ₹ | High price | 43.6 ₹ | PEG Ratio | 0.36 | Debt to equity | 10.1 |
| 52w Index | 11.5 % | Qtr Profit Var | 15.8 % | EPS | 2.09 ₹ | Industry PE | 7.88 |
📊 UCOBANK shows moderate fundamentals with reasonable valuation compared to industry PE and steady profit growth. However, weak efficiency ratios, high debt-to-equity, and bearish technical indicators limit its swing trading potential. It is a cautious candidate for short-term trading.
✅ Optimal Entry Price: Around 27–28 ₹ (near support close to 52-week low of 26.8 ₹)
🚪 Exit Strategy: If already holding, consider exiting near 32–34 ₹ (resistance zone close to 200 DMA).
Positive
- P/E of 13.8 is higher than industry PE (7.88) but still relatively low compared to broader markets.
- Dividend yield of 1.36% provides steady returns.
- Quarterly PAT improved (740 Cr vs 620 Cr), showing growth momentum.
- PEG ratio of 0.36 suggests undervaluation relative to growth.
- EPS of 2.09 ₹ supports earnings consistency.
Limitation
- ROCE (5.76%) and ROE (8.38%) are weak, reflecting low efficiency.
- Debt-to-equity ratio of 10.1 indicates high leverage risk.
- Price below both 50 DMA (29.4 ₹) and 200 DMA (31.8 ₹), showing weakness.
- MACD negative (-0.23) and RSI neutral (46.8) indicate lack of momentum.
- Trading volume lower than weekly average, reflecting reduced participation.
Company Negative News
- DII holdings declined (-0.10%), showing reduced domestic institutional confidence.
- Stock has corrected significantly from 52-week high of 43.6 ₹.
Company Positive News
- Quarterly profit variation of 15.8% highlights steady improvement.
- Stable FII holdings indicate no major foreign outflows.
Industry
- Industry PE at 7.88 is lower, highlighting UCOBANK’s premium valuation.
- Banking sector remains cyclical, influenced by credit growth and interest rate environment.
Conclusion
⚖️ UCOBANK offers limited swing trading potential with entry near 27–28 ₹ and exit near 32–34 ₹. While valuation is reasonable and profits are improving, weak efficiency ratios, high debt, and bearish technicals warrant caution. Best suited for short-term traders seeking modest gains.