JBMA - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.3
| Stock Code | JBMA | Market Cap | 13,132 Cr. | Current Price | 554 ₹ | High / Low | 790 ₹ |
| Stock P/E | 81.0 | Book Value | 51.4 ₹ | Dividend Yield | 0.15 % | ROCE | 14.3 % |
| ROE | 12.1 % | Face Value | 1.00 ₹ | DMA 50 | 597 ₹ | DMA 200 | 646 ₹ |
| Chg in FII Hold | 0.02 % | Chg in DII Hold | 0.01 % | PAT Qtr | 45.6 Cr. | PAT Prev Qtr | 45.1 Cr. |
| RSI | 41.1 | MACD | -15.7 | Volume | 7,53,548 | Avg Vol 1Wk | 7,03,404 |
| Low price | 489 ₹ | High price | 790 ₹ | PEG Ratio | -15.6 | Debt to equity | 1.56 |
| 52w Index | 21.7 % | Qtr Profit Var | 50.1 % | EPS | 6.60 ₹ | Industry PE | 28.0 |
📉 Chart & Trend Analysis: JBMA is trading at ₹554, below both its 50 DMA (₹597) and 200 DMA (₹646), signaling weak technical strength. RSI at 41.1 suggests the stock is in neutral-to-oversold territory. MACD at -15.7 confirms bearish momentum. Bollinger Bands show price leaning toward the lower band, indicating sustained selling pressure. Current volume (7.5L) is slightly above the 1-week average (7.0L), reflecting active trading but with bearish bias.
🔑 Momentum Signals: Short-term momentum is bearish with immediate support at ₹540 and major support at ₹490 (recent low). Resistance lies at ₹590–₹600 (DMA50 zone). Optimal entry zone: ₹540–₹555 for risk-managed traders. Exit zone: ₹590–₹600 if recovery occurs. Trend status: Reversing downward.
Positive ✅
- ROCE (14.3%) and ROE (12.1%) indicate steady capital efficiency.
- Quarterly PAT growth (₹45.6 Cr vs ₹45.1 Cr) shows earnings stability.
- EPS of ₹6.60 reflects consistent profitability base.
- FII (+0.02%) and DII (+0.01%) holdings increased slightly, showing marginal institutional support.
Limitation ⚠️
- Stock trading below both 50 DMA and 200 DMA, confirming weak technical strength.
- High P/E (81.0) compared to industry PE (28.0) suggests significant overvaluation.
- PEG ratio (-15.6) highlights poor growth-adjusted valuation.
- Debt-to-equity ratio of 1.56 indicates high leverage risk.
Company Negative News 📉
- Stock has fallen from 52-week high of ₹790 to ₹554, eroding sentiment.
- Weak RSI and MACD indicate continued bearishness.
Company Positive News 📊
- Quarterly profit variation of 50.1% indicates strong operational performance.
- Volume activity above average shows active market participation.
Industry 🌐
- Industry PE at 28.0 is much lower than JBMA’s PE of 81.0, suggesting sector peers may be more attractively valued.
- Auto ancillary sector outlook remains positive with demand recovery, but valuations are critical.
Conclusion 📝
JBMA is currently in a bearish reversal phase, trading below key moving averages with weak momentum indicators. While fundamentals show profit growth and modest institutional support, high valuation and leverage remain concerns. Risk-tolerant traders may consider entries near ₹540–₹555 with exits around ₹590–₹600, while long-term investors should wait for confirmation of trend reversal above the 200 DMA.
Would you like me to also prepare a peer benchmarking overlay comparing JBMA with auto ancillary peers like Motherson Sumi, Bosch, and Bharat Forge to highlight relative strength and valuation?