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TIMKEN - IntraDay Trade Analysis with Live Signals

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Rating: 3.5

Last Updated Time : 03 May 26, 09:03 am

IntraDay Trade Rating: 3.5

Stock Code TIMKEN Market Cap 25,791 Cr. Current Price 3,429 ₹ High / Low 3,680 ₹
Stock P/E 59.9 Book Value 368 ₹ Dividend Yield 1.05 % ROCE 20.9 %
ROE 17.0 % Face Value 10.0 ₹ DMA 50 3,366 ₹ DMA 200 3,187 ₹
Chg in FII Hold 0.02 % Chg in DII Hold 0.48 % PAT Qtr 49.8 Cr. PAT Prev Qtr 89.5 Cr.
RSI 49.2 MACD 48.5 Volume 70,595 Avg Vol 1Wk 38,411
Low price 2,431 ₹ High price 3,680 ₹ PEG Ratio 5.51 Debt to equity 0.01
52w Index 79.9 % Qtr Profit Var -32.9 % EPS 57.2 ₹ Industry PE 46.6

📈 Optimal Buy Price: 3,410 – 3,430 ₹ (near 50 DMA support)

💰 Profit Exit Levels: 3,480 – 3,500 ₹ (short-term resistance), 3,560 ₹ (momentum breakout)

⚠️ Stop-Loss: 3,380 ₹ (below support zone)

Intraday Exit Guidance: If already holding, consider booking profits near 3,480–3,500 ₹ if RSI weakens or volume declines. Exit immediately if price slips under 3,410 ₹ with weakening momentum.

Positive

  • Strong ROCE at 20.9% and ROE at 17.0% reflect solid operational efficiency.
  • EPS of 57.2 ₹ supports valuation strength.
  • Price above both 50 DMA (3,366 ₹) and 200 DMA (3,187 ₹), confirming technical support.
  • MACD positive at 48.5, indicating bullish momentum.
  • Debt-to-equity ratio at 0.01 shows negligible leverage risk.
  • Institutional support: FII (+0.02%) and DII (+0.48%) holdings increased.

Limitation

  • High P/E of 59.9 vs industry P/E of 46.6, suggesting overvaluation.
  • PEG ratio at 5.51 indicates expensive growth relative to earnings.
  • PAT dropped sharply (49.8 Cr. vs 89.5 Cr.), showing earnings volatility.
  • RSI at 49.2 near neutral zone, limiting strong momentum signals.

Company Negative News

  • Quarterly profit variation at -32.9% highlights declining profitability.
  • Reduced earnings momentum may limit upside in the near term.

Company Positive News

  • EPS remains strong despite profit decline, supporting valuation premium.
  • Institutional investors increased holdings, showing confidence in long-term fundamentals.

Industry

  • Industry P/E at 46.6 is lower than TIMKEN’s 59.9, highlighting valuation risk.
  • Engineering and industrial sector remains cyclical, with demand tied to infrastructure and manufacturing growth.

Conclusion

⚖️ TIMKEN shows solid fundamentals but stretched valuations, making it a candidate for intraday trades only with disciplined stop-losses. Intraday bias is moderately bullish, supported by strong fundamentals, but high valuation and earnings volatility require strict risk management.

Would you like me to extend this into a peer benchmarking overlay comparing TIMKEN against SKF India and Schaeffler, so you can see clearer sector rotation signals?

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