PC Jeweller Ltd. saw its shares extend gains for a fourth consecutive session on Friday, hitting a 52-week high of Rs 14.94. The stock was last trading at Rs 14.56, marking an impressive 48.17% rally over the past three months. This significant upward movement follows a key corporate announcement by the jewellery retailer.
Debt Clearance and Asset Release
The company recently informed stock exchanges that all mortgaged assets belonging to PC Jeweller, its personal guarantors, and corporate guarantors have been released. The original title deeds have been returned to their respective holders. This development comes after the company received 'No Objection cum No Dues cum Release Letters' from all 14 banks in its consortium, effectively closing all outstanding debt formalities.
Despite the positive news, PC Jeweller's stock remains under the short-term Additional Surveillance Measure (ASM) framework on both the BSE and NSE. Exchanges use the ASM framework to alert investors to potential risks associated with high volatility in share prices.
Technical Outlook from Analysts
Several analysts have offered a broadly positive near-term view on PC Jeweller shares from a technical standpoint.
Angel One's Perspective
Osho Krishan, Chief Manager – Technical & Derivative Research at Angel One, noted that PC Jeweller has shown robust momentum over the last three months, decisively moving past its 200-day Simple Moving Average (DSMA) after a prolonged corrective phase. Krishan suggests that the Rs 13-12.50 range should provide support during any near-term pullbacks. He anticipates that sustained momentum could push the stock towards the Rs 17 sub-level in upcoming sessions, provided broader market conditions remain favorable and buying interest holds steady.
Bonanza's View
Virat Jagad, Senior Technical Research Analyst at Bonanza, highlighted a strong breakout from a prolonged consolidation phase. He observed that the price is sustaining above all major Exponential Moving Averages (EMAs), with improving volumes indicating fresh buying interest. While the Relative Strength Index (RSI) remains elevated, suggesting strong momentum, Jagad cautioned that some profit booking is possible. He believes that sustaining above Rs 14.50 could support further upside potential.
Tips2trades Analysis
AR Ramachandran, a Sebi-registered research analyst at Tips2trades, indicated that PC Jeweller stock price is bullish on daily charts but faces strong resistance at Rs 14.86. A daily close above this resistance level, according to Ramachandran, could lead to an upside target of Rs 16.2 in the near term, with immediate support identified at Rs 13.9.