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JPPOWER - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.1

Last Updated Time : 03 May 26, 11:24 am

Technical Rating: 3.1

Stock Code JPPOWER Market Cap 13,515 Cr. Current Price 19.7 ₹ High / Low 27.7 ₹
Stock P/E 21.8 Book Value 18.6 ₹ Dividend Yield 0.00 % ROCE 10.2 %
ROE 6.83 % Face Value 10.0 ₹ DMA 50 17.0 ₹ DMA 200 17.0 ₹
Chg in FII Hold 0.07 % Chg in DII Hold 0.00 % PAT Qtr 4.89 Cr. PAT Prev Qtr 182 Cr.
RSI 64.9 MACD 1.25 Volume 9,22,77,620 Avg Vol 1Wk 12,78,28,177
Low price 12.5 ₹ High price 27.7 ₹ PEG Ratio 0.23 Debt to equity 0.28
52w Index 47.4 % Qtr Profit Var -96.1 % EPS 0.91 ₹ Industry PE 31.0

📊 Chart & Indicators

- Current price (₹19.7) is above DMA 50 (₹17.0) and DMA 200 (₹17.0), showing short-term bullish momentum.

- RSI at 64.9 indicates strong momentum, close to overbought territory.

- MACD at 1.25 shows mild bullish crossover.

- Bollinger Bands: price near upper band, suggesting strong momentum but risk of pullback.

- Volume (9.22 Cr.) below average (12.78 Cr.), showing reduced participation.

🎯 Entry & Exit Zones

- **Entry Zone:** ₹18.5 – ₹19.0 (near DMA support).

- **Exit Zone:** ₹20.5 – ₹21.0 (trendline resistance).

- **Stop-Loss:** Below ₹18.0 (support breakdown risk).

📈 Trend Status

- The stock is **trending upward short-term** with bullish bias.

- Risk of consolidation if momentum weakens due to low volume and poor fundamentals.

✅ Positive

- PEG ratio at 0.23 indicates undervaluation relative to growth.

- Low debt-to-equity ratio (0.28).

- Price trading above both 50 DMA and 200 DMA.

- FII holdings increased slightly (+0.07%).

- 52-week index gain of 47.4% highlights long-term performance strength.

⚠️ Limitation

- RSI close to overbought zone, risk of short-term correction.

- EPS at ₹0.91 is very low, limiting valuation strength.

- Dividend yield at 0.00%, no income support.

- Volume below average, showing weak conviction.

📉 Company Negative News

- Quarterly PAT collapsed (₹182 Cr. → ₹4.89 Cr.), showing severe earnings weakness.

- Profit variation -96.1% impacts investor sentiment.

📈 Company Positive News

- Marginal increase in FII holdings (+0.07%).

- Strong 52-week performance supported by price momentum.

🏭 Industry

- Industry PE at 31.0 vs JPPOWER’s 21.8, showing relative undervaluation.

- Power sector supported by demand growth but facing margin pressures from rising costs.

🔎 Conclusion

JPPOWER is trending upward with short-term bullish signals, supported by DMA crossover and RSI strength. However, collapsing profits and weak fundamentals limit sustainability. Entry near ₹18.5–₹19.0 is favorable with strict stop-loss, while exits should be considered near ₹20.5–₹21.0. Trend remains bullish short-term but likely to consolidate unless earnings improve.

Would you like me to extend this into a peer benchmarking overlay comparing JPPOWER with Adani Power, NTPC, and Tata Power to highlight relative strength and valuation?

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