ADANIENT - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.3
| Stock Code | ADANIENT | Market Cap | 2,31,719 Cr. | Current Price | 2,008 ₹ | High / Low | 2,613 ₹ |
| Stock P/E | 99.3 | Book Value | 242 ₹ | Dividend Yield | 0.06 % | ROCE | 12.9 % |
| ROE | 12.1 % | Face Value | 1.00 ₹ | DMA 50 | 2,122 ₹ | DMA 200 | 2,271 ₹ |
| Chg in FII Hold | -0.08 % | Chg in DII Hold | -0.13 % | PAT Qtr | 563 Cr. | PAT Prev Qtr | 666 Cr. |
| RSI | 41.3 | MACD | -49.9 | Volume | 10,90,378 | Avg Vol 1Wk | 13,53,292 |
| Low price | 1,848 ₹ | High price | 2,613 ₹ | PEG Ratio | 1.85 | Debt to equity | 0.59 |
| 52w Index | 20.9 % | Qtr Profit Var | 4.55 % | EPS | 118 ₹ | Industry PE | 124 |
📉 Chart & Trend: Current price (2,008 ₹) is below both 50 DMA (2,122 ₹) and 200 DMA (2,271 ₹), confirming short-term weakness and bearish bias.
📊 RSI: At 41.3, RSI is neutral but leaning bearish, showing limited buying strength.
📉 MACD: Negative (-49.9), indicating bearish crossover and weak short-term momentum.
📈 Bollinger Bands: Price is near the lower band, suggesting oversold conditions but no confirmed reversal yet.
📉 Volume: Current volume (10,90,378) is below 1-week average (13,53,292), showing reduced participation and lack of accumulation.
📍 Support Levels: 1,950 ₹ (near-term), 1,850 ₹ (major support), 1,800 ₹ (long-term support).
📍 Resistance Levels: 2,100 ₹ (near-term), 2,250 ₹ (major resistance), 2,613 ₹ (52-week high).
🔎 Momentum Signal: Weak short-term momentum with bearish bias.
📌 Trend Status: Consolidating with risk of reversal if support breaks.
Positive
- EPS of 118 ₹ reflects strong earnings power.
- ROCE (12.9%) and ROE (12.1%) show moderate efficiency.
- PEG ratio (1.85) indicates reasonable valuation relative to growth.
Limitation
- Stock trading below both 50 DMA and 200 DMA, confirming bearish trend.
- Dividend yield is very low (0.06%), offering minimal income support.
- High P/E (99.3) compared to industry average (124) still suggests premium valuation risk.
- Volume participation is weak, reducing conviction in momentum.
Company Negative News
- Quarterly profit declined from 666 Cr. to 563 Cr. (-4.55%).
- FII holding reduced (-0.08%) and DII holding reduced (-0.13%), showing declining institutional confidence.
Company Positive News
- EPS remains strong at 118 ₹ despite profit decline.
- Book value of 242 ₹ provides margin of safety.
Industry
- Industry P/E at 124 is higher than company’s P/E (99.3), suggesting relative undervaluation compared to peers.
- Infrastructure and diversified business sector remains cyclical but supported by long-term demand drivers.
Conclusion
⚠️ ADANIENT is consolidating with weak short-term signals (negative MACD, neutral RSI, below DMA). Entry is favorable near 1,950–2,000 ₹ with strict stop-loss at 1,850 ₹. Exit zones lie around 2,100–2,250 ₹, with breakout potential toward 2,613 ₹ if momentum strengthens. Fundamentals show strong EPS and moderate efficiency, but declining profits and weak institutional support raise caution. Traders should wait for confirmation signals; long-term investors may accumulate gradually on dips with strict risk management.