Jindal Stainless Could See Strong Upside If It Breaks Above ₹695: SEBI RA Vijay Gupta
Synopsis
Momentum indicators like CCI signal a potential bullish crossover ahead for the stock, the analyst said
Jindal Stainless is showing signs of short-term accumulation, with the price consolidating just below a key breakout level near ₹695.
On the daily chart, the stock is trading close to both the Tenkan Sen conversion line at ₹692.43 and the Kijun Sen baseline at ₹693.46, according to SEBI-registered analyst Vijay Kumar Gupta.
At the time of writing, Jindal Stainless stock edged 0.5% higher to ₹684.55, having fallen 2.07% year-to-date.
The price is currently testing the top of the Ichimoku Cloud, and the flat cloud ahead suggests a potential sideways-to-bullish trend, the analyst noted. The Lagging Span (Chikou) is near current price candles, indicating a neutral setup with no clear divergence or strong momentum shift yet.
Momentum indicators are also showing recovery. The Commodity Channel Index (CCI) is rebounding from the oversold zone with a potential bullish crossover ahead, adding further weight to a possible upward move.
Volumes have hit 827K, the highest in five sessions, while On-Balance Volume (OBV) remains steady, reflecting no signs of distribution, Gupta said.
A breakout above ₹695 - ₹700 could trigger bullish momentum, if supported by a strong close above ₹700. Key support can be seen at the ₹665 - ₹670 range, he added.
Analysts remain optimistic, with Motilal Oswal assigning a target price of ₹770. If the stock holds above ₹695 and closes above ₹700, it could set up a quick move toward ₹ 730 or higher in the short term.
On the fundamental front, Jindal Stainless delivered a strong Q4 FY25 performance, with PAT surging 94% to ₹590 crore and annual revenue growing 13% to ₹40,182 crore.
A robust balance sheet with a low net debt-to-equity ratio of 0.2, along with capacity expansion through Chromeni and investments in renewable energy, enhances the long-term growth story.
Sectoral tailwinds from rising stainless steel demand in infrastructure, railways, and defense further support sentiment, the analyst said.
Retail sentiment on Stocktwits turned ‘bullish’ from ‘neutral’ a day ago.
For updates and corrections, email newsroom[at]stocktwits[dot]com
Stay updated with all the latest Business News, including market trends, Share Market News, stock updates, taxation, IPOs, banking, finance, real estate, savings, and investments. Track daily Gold Price changes, updates on DA Hike, and the latest developments on the 8th Pay Commission. Get in-depth analysis, expert opinions, and real-time updates to make informed financial decisions. Download the Asianet News Official App from the Android Play Store and iPhone App Store to stay ahead in business.