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ABREL - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.1

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

Technical Rating: 3.1

Stock Code ABREL Market Cap 13,676 Cr. Current Price 1,225 ₹ High / Low 2,538 ₹
Stock P/E 91.8 Book Value 401 ₹ Dividend Yield 0.16 % ROCE 4.25 %
ROE 3.84 % Face Value 10.0 ₹ DMA 50 1,340 ₹ DMA 200 1,666 ₹
Chg in FII Hold -0.15 % Chg in DII Hold 0.47 % PAT Qtr 31.4 Cr. PAT Prev Qtr 24.0 Cr.
RSI 45.4 MACD -58.8 Volume 10,43,868 Avg Vol 1Wk 5,03,452
Low price 1,080 ₹ High price 2,538 ₹ PEG Ratio -13.8 Debt to equity 0.89
52w Index 9.93 % Qtr Profit Var 25.1 % EPS 8.04 ₹ Industry PE 20.0

📉 Chart & Trend: Current price (1,225 ₹) is below both 50 DMA (1,340 ₹) and 200 DMA (1,666 ₹), confirming short-term weakness and bearish bias.

📊 RSI: At 45.4, RSI is neutral but leaning bearish, showing limited buying strength.

📉 MACD: Negative (-58.8), indicating bearish crossover and weak short-term momentum.

📈 Bollinger Bands: Price is near the mid-band, suggesting consolidation without strong breakout signals.

📉 Volume: Current volume (10,43,868) is higher than 1-week average (5,03,452), showing increased participation, likely driven by selling pressure.

📍 Support Levels: 1,200 ₹ (near-term), 1,150 ₹ (major support), 1,080 ₹ (52-week low).

📍 Resistance Levels: 1,300 ₹ (near-term), 1,400 ₹ (major resistance), 1,666 ₹ (200 DMA resistance).

🔎 Momentum Signal: Weak short-term momentum with bearish bias.

📌 Trend Status: Consolidating with risk of reversal if support breaks.


Positive

  • EPS of 8.04 ₹ reflects earnings consistency.
  • Quarterly profit growth (PAT up from 24 Cr. to 31.4 Cr., +25.1%).
  • DII holding increased (+0.47%), showing domestic institutional support.
  • Book value of 401 ₹ provides margin of safety.

Limitation

  • Stock trading below both 50 DMA and 200 DMA, confirming bearish trend.
  • Dividend yield is very low (0.16%), offering minimal income support.
  • High P/E (91.8) compared to industry average (20.0), indicating overvaluation.
  • ROCE (4.25%) and ROE (3.84%) are weak compared to peers.

Company Negative News

  • FII holding reduced (-0.15%), showing declining foreign investor confidence.
  • PEG ratio (-13.8) highlights poor valuation relative to growth.

Company Positive News

  • Quarterly profit improved sequentially, showing operational recovery.
  • DII holding increased (+0.47%), reflecting domestic institutional optimism.

Industry

  • Industry P/E at 20.0 is much lower than company’s P/E (91.8), highlighting premium pricing risk.
  • Renewable and infrastructure sector remains supported by policy tailwinds and demand growth.

Conclusion

⚠️ ABREL is consolidating with weak short-term signals (negative MACD, neutral RSI, below DMA). Entry is favorable near 1,200–1,225 ₹ with strict stop-loss at 1,150 ₹. Exit zones lie around 1,300–1,400 ₹, with breakout potential toward 1,666 ₹ if momentum strengthens. Fundamentals show profit growth and DII support, but weak efficiency ratios, high valuation, and declining FII confidence raise caution. Traders should wait for confirmation signals; long-term investors may accumulate gradually on dips with strict risk management.

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