Gold Stock Below Rs 20: PC Jeweller Share Crashes 4% After New 52-Week High; Buy Or Sell After Q2 Results?

The PC Jeweller share price could not retain its new 52-week high levels on Thursday, after robust performance in Q2FY27. Currently, this gold stock, which is below Rs 20, is trading in deep red. The reason for sell-offs in PCJ is the sharp weakness in gold and silver rates in India and the international market. Nonetheless, experts are optimistic about PC Jeweller stock due to the positive growth outlook ahead.

PC Jeweller Share Price

At the time of writing, PC Jeweller traded at Rs 18.06 apiece on BSE, down by 2.4% with a market cap of Rs 17,602.60 crore. The stock fell as much as 4.32% to hit an intraday low of Rs 17.71 apiece. This came after PC Jeweller touched a new 52-week high of Rs 20.17 apiece in the early trade on Thursday.

The reason behind a new high for PC Jeweller is the strong performance in Q2 results and debt-free status. However, the stock erased its gain to trade lower due to steep decline in precious metals across the markets.

"PC Jeweller is showing signs of a potential bullish breakout on the monthly chart, backed by a sharp rise in price and trading volumes. After a prolonged consolidation phase, the stock has moved back towards a crucial resistance zone of Rs 19-Rs 20, marked by a long-term trendline connecting previous highs," said Sachin Gupta, VP - Technical Research, Choice Broking.

PC Jeweller Q2 Results:

The gems and jewellery giant posted 57.99% YoY growth in consolidated net profit to Rs 331.08 crore in Q2FY27, as against RS 209.56 crore in Q2FY26. Its revenue from operations surged by 27.8% YoY to Rs 1,054.47 crore. EBITDA also came in strong at Rs 310 crore, registering a growth of 74% YoY.

According to PC Jeweller, the growth was backed with consumer demand. It added, a key milestone during the quarter was the the company achieving debt-free status after repaying its outstanding dues to all 14 consortium banks ahead of schedule. With interest
costs expected to reduce significantly from the second half of FY27, PC Jeweller expects its net profit to have a positive impact of the same.

For H1FY27, PC Jewellers recorded revenue and PAT of Rs 1,932 crore and Rs 512 crore, registering a strong growth of 25% YoY and 129% YoY respectively.

"With the banking issues resolved, the company is now focussed on strategic expansion. The company has already announced itsplans to establish upto 100 new showrooms as a mix of own as well as franchisee stores in the next 12-18 months," said Balram Garg, Managing Director.

Garg added that the company is confident that it will start opening new showrooms in this financial year itself. The company has already executed MoU's with NSDC under the Government of India andwith the Government of Uttar Pradesh under the CM YUVA scheme for onboarding of upto 2,00,000 and 1,000 entrepreneurs/franchisee partners respectively under the PC Jeweller brand. This model will help the company to expand in untapped rural andsemi-urban markets located in Tier 4 and below cities where no other established brand has its presence yet, thereby giving firstmover advantage to the company.

Also, these strategic partnerships will give an opportunity for the company for a rapid expansion inMetros, Tier 2 and Tier 3 cities through its own stores and large format franchisee model and in the untapped rural and semiurban markets located in Tier 4 and below cities through the CM YUVA and NSDC franchisee model, thereby reaping long termbenefits for the company.

Should You Buy PC Jewellers Stock?

As per Gupta, the stock's monthly RSI has improved to around 69, indicating strong buying momentum. A sustained breakout above ₹20, supported by strong volumes, could signal further upside.

On the weekly chart, he added that the stock has surged 17.22% to trade at Rs 19.50, with a sharp increase in volumes. It is trading well above its 50-week EMA at Rs 11.37 and 200-week EMA at Rs 9.74, reflecting a significant improvement in its long-term trend. However, the weekly RSI at 77.09 indicates overbought conditions, so some profit-booking cannot be ruled out near current levels.

Accordingly, the expert believes, a decisive breakout above Rs 20 could open the way towards Rs 23 and Rs 27, while Rs 17 and Rs 15.50 are likely to act as immediate support levels.

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