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AARTIIND - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.4

Last Updated Time : 19 Mar 26, 08:55 pm

Technical Rating: 3.4

Stock Code AARTIIND Market Cap 15,699 Cr. Current Price 433 ₹ High / Low 495 ₹
Stock P/E 42.6 Book Value 158 ₹ Dividend Yield 0.23 % ROCE 6.43 %
ROE 6.22 % Face Value 5.00 ₹ DMA 50 418 ₹ DMA 200 412 ₹
Chg in FII Hold 0.30 % Chg in DII Hold 0.01 % PAT Qtr 146 Cr. PAT Prev Qtr 80.0 Cr.
RSI 52.0 MACD 1.34 Volume 4,85,981 Avg Vol 1Wk 13,90,076
Low price 338 ₹ High price 495 ₹ PEG Ratio -1.25 Debt to equity 0.69
52w Index 60.4 % Qtr Profit Var 211 % EPS 10.4 ₹ Industry PE 25.7

📈 Chart & Trend: Current price (433 ₹) is above both 50 DMA (418 ₹) and 200 DMA (412 ₹), showing short-term bullish momentum supported by moving averages.

📊 RSI: At 52.0, RSI is neutral, suggesting balanced buying and selling pressure.

📈 MACD: Positive (+1.34), indicating mild bullish crossover and potential upward continuation.

📉 Bollinger Bands: Price is near the mid-band, suggesting consolidation with scope for breakout.

📉 Volume: Current volume (4,85,981) is significantly below 1-week average (13,90,076), showing weak participation and lack of strong accumulation.

📍 Support Levels: 420 ₹ (near-term), 400 ₹ (major support), 338 ₹ (long-term support).

📍 Resistance Levels: 450 ₹ (near-term), 470 ₹ (major resistance), 495 ₹ (52-week high).

🔎 Momentum Signal: Mild bullish momentum but requires volume confirmation.

📌 Trend Status: Consolidating with upward bias.


Positive

  • Quarterly profit growth (PAT up from 80 Cr. to 146 Cr., +211%).
  • EPS of 10.4 ₹ reflects improving earnings strength.
  • FII holding increased (+0.30%) and DII holding increased (+0.01%), showing institutional support.

Limitation

  • High P/E (42.6) compared to industry average (25.7), indicating overvaluation risk.
  • Dividend yield is modest (0.23%), offering limited income support.
  • Weak ROCE (6.43%) and ROE (6.22%) compared to peers.
  • Volume participation is weak, reducing conviction in momentum.

Company Negative News

  • Efficiency ratios remain weak despite profit growth (ROCE and ROE both below industry norms).
  • Debt-to-equity ratio at 0.69 is moderate, raising leverage concerns.

Company Positive News

  • Quarterly profit growth signals operational improvement.
  • Institutional support from both FII and DII holdings.

Industry

  • Industry P/E at 25.7 is lower than company’s P/E (42.6), suggesting premium valuation.
  • Chemicals sector remains cyclical but supported by demand recovery.

Conclusion

✅ AARTIIND is consolidating near moving averages with mild bullish signals (positive MACD, neutral RSI). Entry is favorable near 420–430 ₹ with strict stop-loss at 400 ₹. Exit zones lie around 450–470 ₹, with breakout potential toward 495 ₹ if momentum strengthens. Fundamentals show profit growth and institutional support, but weak efficiency ratios and high valuation raise caution. Traders may look for breakout confirmation; long-term investors should accumulate gradually with risk management.

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