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JBMA - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.7

Last Updated Time : 28 May 26, 08:48 pm

Technical Rating: 3.7

Stock Code JBMA Market Cap 15,177 Cr. Current Price 641 ₹ High / Low 790 ₹
Stock P/E 98.4 Book Value 51.4 ₹ Dividend Yield 0.13 % ROCE 15.2 %
ROE 13.3 % Face Value 1.00 ₹ DMA 50 615 ₹ DMA 200 619 ₹
Chg in FII Hold 0.05 % Chg in DII Hold 0.01 % PAT Qtr 31.4 Cr. PAT Prev Qtr 45.6 Cr.
RSI 54.1 MACD 8.00 Volume 3,10,210 Avg Vol 1Wk 3,51,587
Low price 477 ₹ High price 790 ₹ PEG Ratio 11.9 Debt to equity 1.56
52w Index 52.5 % Qtr Profit Var -20.2 % EPS 6.26 ₹ Industry PE 28.1

📊 Chart & Trend Analysis:

JBMA is trading above both its 50 DMA (₹615) and 200 DMA (₹619), showing short-term strength. RSI at 54.1 indicates neutral-to-positive momentum. MACD at 8.0 confirms mild bullish crossover. Bollinger Bands suggest price is mid-range, with support around ₹615–₹620.

📈 Momentum Signals:

- Short-term momentum is positive but moderate, with volume (3.1L) below weekly average (3.5L).

- Support zone: ₹615 – ₹630.

- Resistance zone: ₹670 – ₹690.

- Sustained move above ₹690 could trigger rally toward ₹720+, while failure to hold ₹615 may lead to consolidation.

🔎 Trend Status:

Currently consolidating with mild bullish undertones. A breakout above ₹690 is needed to confirm stronger uptrend.

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Positive

✔ Price trading above both DMA 50 and DMA 200.

✔ Institutional holdings increased slightly (FII +0.05%, DII +0.01%).

✔ ROCE (15.2%) and ROE (13.3%) show steady returns.

✔ 52-week performance at +52.5% indicates strong momentum.

Limitation

⚠ Very high P/E ratio (98.4) vs industry PE (28.1).

⚠ PEG ratio at 11.9 suggests poor valuation relative to growth.

⚠ Debt-to-equity ratio at 1.56 highlights leverage risk.

⚠ Volume participation remains weak compared to average.

Company Negative News

📉 Sequential PAT decline (₹45.6 Cr → ₹31.4 Cr).

📉 Elevated valuation concerns with high P/E and PEG.

📉 High leverage increases financial risk.

Company Positive News

📢 Technical breakout above DMA levels.

📢 Institutional confidence maintained with slight increases in holdings.

📢 Sector demand recovery supports auto ancillary growth.

Industry

🌐 Industry PE at 28.1 vs JBMA’s 98.4 — premium valuation.

🌐 Auto ancillary sector supported by demand recovery but facing margin pressures.

Conclusion

JBMA is consolidating with mild bullish signals. Entry near ₹615–₹630 offers favorable risk-reward, with exit targets around ₹670–₹690. Fundamentals remain steady, but stretched valuations and high leverage warrant cautious accumulation with strict stop-loss discipline.

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