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ADANIENT - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.9

Last Updated Time : 28 May 26, 06:22 pm

Technical Rating: 3.9

Stock Code ADANIENT Market Cap 3,86,700 Cr. Current Price 2,973 ₹ High / Low 3,029 ₹
Stock P/E 161 Book Value 486 ₹ Dividend Yield 0.04 % ROCE 7.60 %
ROE 5.35 % Face Value 1.00 ₹ DMA 50 2,414 ₹ DMA 200 2,299 ₹
Chg in FII Hold -0.84 % Chg in DII Hold -0.01 % PAT Qtr 344 Cr. PAT Prev Qtr 563 Cr.
RSI 81.1 MACD 171 Volume 41,28,117 Avg Vol 1Wk 31,55,627
Low price 1,753 ₹ High price 3,029 ₹ PEG Ratio 12.7 Debt to equity 0.18
52w Index 95.6 % Qtr Profit Var -42.8 % EPS 88.1 ₹ Industry PE 150

📈 Chart Patterns: ADANIENT is in a strong uptrend, trading well above its 50 DMA (2,414 ₹) and 200 DMA (2,299 ₹), with price near its 52-week high (3,029 ₹). Momentum is stretched, suggesting risk of pullback.

📊 Moving Averages: Current price (2,973 ₹) is significantly above both DMAs, confirming bullish bias.

📉 RSI: At 81.1, RSI indicates extreme overbought conditions, signaling caution for new entries.

📈 MACD: Strongly positive at 171, confirming bullish crossover and momentum continuation.

📊 Bollinger Bands: Price is near the upper band, suggesting strong momentum but heightened volatility risk.

📉 Volume Trends: Current volume (41,28,117) is above average weekly volume (31,55,627), confirming strong participation in the rally.

🎯 Entry Zone: 2,880 ₹ – 2,920 ₹ (near support)

🚪 Exit Zone: 3,010 ₹ – 3,030 ₹ (resistance near 52-week high)

📌 Trend Status: Strong uptrend but overbought

Positive

  • Price trading well above both 50 & 200 DMA
  • Strong volume surge confirms accumulation
  • Quarterly PAT at 344 Cr shows profitability despite decline
  • 52-week index at 95.6% highlights strong performance
  • Large market cap (3,86,700 Cr) provides stability

Limitation

  • Extremely high P/E (161) vs industry PE (150)
  • Weak ROE (5.35%) and ROCE (7.60%)
  • PEG ratio at 12.7 indicates expensive growth pricing
  • Dividend yield negligible at 0.04%
  • Quarterly PAT declined sharply (-42.8%)

Company Negative News

  • FII holdings declined (-0.84%)
  • Profit contraction raises concerns

Company Positive News

  • Stock trading near 52-week high
  • Strong liquidity and institutional presence

Industry

  • Industry PE at 150 highlights sector premium
  • ADANIENT trading at high multiples but aligned with industry average

Conclusion

⚖️ ADANIENT is trending upward with strong technical momentum supported by volumes and MACD. However, valuations remain stretched and profitability has weakened. Entry near 2,880–2,920 ₹ offers tactical opportunities, while resistance at 3,010–3,030 ₹ may cap short-term upside. Long-term investors should be cautious given overvaluation and declining earnings, while momentum traders can capitalize with strict stop-loss discipline.

I can extend this into a swing trade strategy with holding period guidance, or prepare a peer benchmarking overlay comparing ADANIENT’s valuation and momentum against Adani Ports, Adani Power, and Adani Green.

Technical Analysis
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