Shares of PC Jeweller Ltd. continued their upward trajectory on Friday, climbing over 5.67 percent to reach a high of Rs 10.44 in early trading. This surge was accompanied by significant trading volume, with approximately 1.06 crore shares changing hands on the BSE, notably higher than the two-week average.
Strong Q1 Performance Drives Gains
The New Delhi-based jewellery retailer attributed the stock's robust performance to a strong operational showing in the June quarter (Q1 FY27). The company reported a consolidated revenue increase of around 21 percent year-on-year, signaling healthy business growth.
Significant Debt Reduction Milestone
A key factor contributing to investor confidence is PC Jeweller's aggressive push towards becoming debt-free. The company announced it had successfully reduced its outstanding debt to banks by an additional 24 percent during Q1 FY27. This latest reduction means the company has now repaid over 90 percent of its outstanding debt since signing a Joint Settlement Agreement with banks on September 30, 2024.
PC Jeweller expressed confidence in achieving a completely debt-free status within the current quarter, which is expected to significantly strengthen its financial position in the coming periods. The exact consolidated revenue for Q1 FY27 and the remaining outstanding debt amount were not disclosed in the exchange filing.
Technical Indicators and Volatility
From a technical perspective, PC Jeweller's stock is currently trading above its 5-day, 10-day, 20-day, 30-day, 50-day, 100-day, and 150-day simple moving averages (SMAs), although it remains below the 200-day SMA. The 14-day Relative Strength Index (RSI) stood at 73.38, indicating the stock is nearing overbought territory. With a one-year beta of 1.42, the stock exhibits relatively high volatility.
The company's standalone/consolidated price-to-earnings (P/E) ratio is 14.14/14.03, with a price-to-book (P/B) value of 2.95. Earnings per share (EPS) are reported at 0.73/0.74, and return on equity (RoE) stands at 20.94.