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ABSLAMC - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.2

Last Updated Time : 03 Feb 26, 05:01 pm

Technical Rating: 3.2

Stock Code ABSLAMC Market Cap 22,467 Cr. Current Price 778 ₹ High / Low 912 ₹
Stock P/E 21.9 Book Value 123 ₹ Dividend Yield 3.10 % ROCE 35.5 %
ROE 27.0 % Face Value 5.00 ₹ DMA 50 787 ₹ DMA 200 775 ₹
Chg in FII Hold -0.13 % Chg in DII Hold 0.49 % PAT Qtr 274 Cr. PAT Prev Qtr 245 Cr.
RSI 40.1 MACD -6.58 Volume 1,25,313 Avg Vol 1Wk 2,69,302
Low price 556 ₹ High price 912 ₹ PEG Ratio 1.84 Debt to equity 0.02
52w Index 62.4 % Qtr Profit Var 23.4 % EPS 35.4 ₹ Industry PE 25.3

📊 Technical Analysis

  • Chart Patterns: Current price (778 ₹) is slightly above 200 DMA (775 ₹) but below 50 DMA (787 ₹), indicating sideways consolidation with mild weakness.
  • RSI (40.1): Neutral-to-weak zone, suggesting limited momentum and leaning towards oversold conditions.
  • MACD (-6.58): Negative crossover, confirming short-term bearish bias.
  • Bollinger Bands: Price near lower band, indicating oversold conditions with potential for a short-term bounce.
  • Volume Trends: Current volume (1.25L) is below 1-week average (2.69L), reflecting weak participation and lack of conviction.

📈 Momentum & Signals

  • Trend: Consolidation with mild bearish bias.
  • Support Zones: 770 ₹ (near-term support), 750 ₹ (psychological level), 720 ₹ (major support).
  • Resistance Zones: 787 ₹ (50 DMA), 800 ₹ (psychological resistance), 912 ₹ (52-week high).
  • Entry Zone: 770–780 ₹ for cautious accumulation.
  • Exit Zone: 800–820 ₹ unless breakout above 912 ₹ occurs.

✅ Positive

  • Quarterly PAT improved to 274 Cr. from 245 Cr. (+23.4%).
  • Strong ROCE (35.5%) and ROE (27.0%) highlight excellent efficiency.
  • DII holding increased (+0.49%), showing domestic institutional support.
  • Dividend yield of 3.10% provides attractive income appeal.

⚠️ Limitation

  • Stock trading below 50 DMA, showing weak short-term momentum.
  • P/E (21.9) is slightly below industry average (25.3), but valuation remains sensitive to earnings growth.
  • Volume participation is weak, reducing conviction in rallies.

📉 Company Negative News

  • FII holding decreased (–0.13%), showing reduced foreign investor confidence.
  • RSI weak and MACD negative, confirming bearish technical signals.

📈 Company Positive News

  • Quarterly profit growth highlights operational strength.
  • Dividend yield of 3.10% adds investor appeal.
  • DII support increased (+0.49%), balancing FII outflows.

🏭 Industry

  • Industry P/E at 25.3 is slightly higher, highlighting ABSLAMC’s fair valuation.
  • Asset management sector benefits from rising retail participation and long-term financialization of savings.

🔎 Conclusion

  • Stock is in consolidation with mild bearish bias.
  • RSI weak and MACD negative suggest caution; momentum remains subdued.
  • Best strategy: Buy near 770–780 ₹ with stop-loss below 750 ₹.
  • Upside potential towards 800–820 ₹ if momentum sustains and breakout above 912 ₹ occurs.

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