JKCEMENT - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.2
| Stock Code | JKCEMENT | Market Cap | 39,399 Cr. | Current Price | 5,101 ₹ | High / Low | 7,566 ₹ |
| Stock P/E | 35.9 | Book Value | 833 ₹ | Dividend Yield | 0.29 % | ROCE | 14.5 % |
| ROE | 14.6 % | Face Value | 10.0 ₹ | DMA 50 | 5,533 ₹ | DMA 200 | 5,706 ₹ |
| Chg in FII Hold | -0.68 % | Chg in DII Hold | 0.75 % | PAT Qtr | 211 Cr. | PAT Prev Qtr | 176 Cr. |
| RSI | 36.7 | MACD | -169 | Volume | 50,364 | Avg Vol 1Wk | 57,937 |
| Low price | 4,390 ₹ | High price | 7,566 ₹ | PEG Ratio | 8.38 | Debt to equity | 0.99 |
| 52w Index | 22.4 % | Qtr Profit Var | 5.47 % | EPS | 143 ₹ | Industry PE | 28.2 |
📉 Chart & Trend: JKCEMENT is trading below both its 50 DMA (₹5,533) and 200 DMA (₹5,706), with the current price at ₹5,101. This indicates a bearish undertone and lack of recovery momentum.
📊 RSI: At 36.7, RSI is weak and near oversold territory, suggesting limited upside potential but possible short-term bounce.
📉 MACD: Negative at -169, confirming bearish momentum and absence of reversal signals.
📈 Bollinger Bands: Price is near the lower band, reflecting weakness and potential downside risk if support breaks.
📊 Volume: Current volume (50K) is slightly below average weekly volume (58K), showing reduced participation and weak buying interest.
📍 Support & Resistance:
- Strong support: ₹4,390
- Immediate resistance: ₹5,533 (50 DMA)
- Major resistance: ₹5,706 (200 DMA)
Optimal entry zone: ₹4,950–₹5,100 (near support).
Exit zone: ₹5,500–₹5,600 (resistance cluster).
🔎 Trend Status: The stock is consolidating with bearish bias. A reversal requires sustained close above ₹5,533.
Positive
- ROCE (14.5%) and ROE (14.6%) indicate decent capital efficiency.
- EPS at ₹143 supports earnings visibility.
- Quarterly PAT growth (₹211 Cr vs ₹176 Cr) shows earnings momentum.
- DII holding increased by 0.75%, reflecting domestic institutional support.
Limitation
- Trading below both 50 DMA and 200 DMA signals weakness.
- RSI and MACD confirm bearish momentum.
- P/E of 35.9 compared to industry PE of 28.2 indicates overvaluation.
- PEG ratio of 8.38 suggests valuation is expensive relative to growth.
- Debt-to-equity ratio of 0.99 indicates high leverage risk.
Company Negative News
- FII holding decreased by -0.68%, showing reduced foreign investor confidence.
- Stock has corrected sharply from its 52-week high of ₹7,566.
Company Positive News
- Quarterly profit variation of 5.47% indicates growth momentum.
- Strong 52-week index performance at 22.4% shows resilience despite correction.
Industry
- Industry PE at 28.2 vs JKCEMENT’s PE of 35.9 shows relative premium valuation.
- Cement sector outlook remains positive with infrastructure demand and government spending support.
Conclusion
⚖️ JKCEMENT is consolidating with bearish bias near support. Short-term traders may consider entry around ₹4,950–₹5,100 with exits near ₹5,500–₹5,600. Long-term investors should be cautious given high leverage and valuation, waiting for confirmation above ₹5,533 before adding positions.
Would you like me to extend this into a cement sector basket overlay (JKCEMENT vs peers like Ultratech, Shree Cement, ACC) so you can benchmark its setup against industry leaders for confirmation signals?