ZENTEC - IntraDay Trade Analysis with Live Signals

Last Updated Time : 20 Dec 25, 07:04 am

IntraDay Trade Rating: 3.4

📊 Analysis: ZENTEC is trading at 1,368 ₹, slightly below DMA 50 (1,404 ₹) and DMA 200 (1,526 ₹), indicating short-term weakness. RSI at 40.7 suggests neutral-to-weak momentum, while MACD negative (-11.4) confirms bearish bias. Volume (2,09,676) is above weekly average (1,96,246), showing active participation. Fundamentals remain strong with high ROCE (32.9%) and ROE (24.6%), but valuation is stretched (P/E 59.8 vs industry 57.9). Overall, ZENTEC is a cautious candidate for intraday trading with potential for limited upside if momentum improves.

💰 Optimal Buy Price: 1,360–1,370 ₹ (near current support zone).

📈 Profit-Taking Levels: 1,385–1,395 ₹ (first resistance), 1,410–1,420 ₹ (second resistance near DMA 50).

⚠️ Stop-Loss: 1,350 ₹ (below recent support).

⏱️ If Already Holding: Exit intraday if price fails to sustain above 1,375 ₹ or if RSI dips below 40 with MACD remaining negative. Weakness below 1,360 ₹ should trigger exit to protect capital.

Positive

• ✅ Strong ROCE (32.9%) and ROE (24.6%) indicate excellent capital efficiency.
• ✅ EPS of 22.9 ₹ reflects solid profitability.
• ✅ PEG ratio of 0.15 suggests attractive growth valuation.
• ✅ Debt-to-equity ratio of 0.00 ensures financial stability.
• ✅ PAT improved sequentially (37.1 Cr. to 46.2 Cr.), showing operational recovery.

Limitation

• ⚠️ Current price below DMA 50 and DMA 200 confirms weak trend.
• ⚠️ RSI at 40.7 and negative MACD (-11.4) show weak momentum.
• ⚠️ Quarterly profit variation (-29.2%) highlights earnings volatility.
• ⚠️ High P/E (59.8) compared to industry average (57.9) suggests overvaluation risk.

Company Negative News

• 📉 Decline in FII holding (-0.10%) and DII holding (-0.82%) shows reduced institutional confidence.
• 📉 Quarterly profit variation (-29.2%) raises concerns on earnings stability.

Company Positive News

• 📈 Sequential PAT improvement (37.1 Cr. to 46.2 Cr.) highlights operational recovery.
• 📈 Strong ROCE and ROE reflect efficient capital use.

Industry

• 🏭 Industry P/E at 57.9 is slightly lower than company’s P/E (59.8), showing sector is relatively cheaper.
• 🏭 Tech & engineering sector remains growth-driven, supported by demand for automation and digital solutions.

Conclusion

📌 ZENTEC is a cautious candidate for intraday trading with weak momentum but strong fundamentals. Buy near 1,360–1,370 ₹ with profit targets at 1,385–1,395 ₹ and 1,410–1,420 ₹. Maintain strict stop-loss at 1,350 ₹. If already holding, exit on failure to sustain above 1,375 ₹ or if RSI/MACD momentum weakens.

Would you like me to extend this into a peer benchmarking overlay so you can compare ZENTEC against other tech & engineering peers for intraday confirmation, or keep the focus on single-stock execution logic?