JSW Holdings shares snap 5-day winning run, dive 9% in fag-end trade; here's what analysts say

Shares of JSW Holdings Ltd recorded a sharp fall during the last leg of Friday's trade, pausing their five-day upward run. The stock slipped 8.59 per cent to hit an intraday low of Rs 8,588.05. It eventually settled 6.88 per cent down at Rs 8,748.50 level. At this price, the scrip has declined 8.37 per cent from its recent record high value of Rs 9,547.30, hit a couple of days earlier on September 24. Despite the mentioned fall, the scrip has gained 20.14 per cent in the past one month and 69.23 per cent in 2024 so far.

A total of 839 shares changed hands today on BSE. The figure was lower than the two-week average volume of 1,024 shares. Turnover on the counter came at Rs 76.34 crore, commanding a market capitalisation (m-cap) of Rs 9,710.51 crore.

An analyst said the company's long-term growth story remains intact. "The stock has recently touched all-time levels. At present, it has entered into a consolidation phase. Investors with a long-term view can continue to hold on to the stock, given the company's inherent value," said Kranthi Bathini, director of equity strategy at WealthMills Securities.

Technically, support on the counter could be seen at Rs 8,500 and resistance may be found at Rs 9,200 level.

"The stock has seen a decent uptick this month. With that being said, near-term support will be at Rs 8,500 and resistance at Rs 9,200," said Ravi Singh, Senior Vice-President (Retail Research) at Religare Broking.

The counter traded higher than the 5-day, 10-, 20-, 30-, 50-, 100-, 150-day and 200-day simple moving averages (SMAs). The scrip's 14-day relative strength index (RSI) came at 65.51. A level below 30 is defined as oversold while a value above 70 is considered overbought.

As per BSE, the company's stock has a price-to-equity (P/E) ratio of 87.35 against a price-to-book (P/B) value of 0.43. Earnings per share (EPS) stood at 107.56 with a return on equity (RoE) of 0.49.

JSW Holdings is a non-banking financial company (NBFC) that forms the investment arm of JSW Group. The company's main holdings are in the group's Steel companies. It continues to focus on strategic investments in new ventures promoted by the JSW Group.

As of June 2024, promoters held a 66.29 per cent stake in the NBFC.