AJANTPHARM - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.1
| Stock Code | AJANTPHARM | Market Cap | 37,732 Cr. | Current Price | 3,018 ₹ | High / Low | 3,315 ₹ |
| Stock P/E | 39.8 | Book Value | 338 ₹ | Dividend Yield | 0.93 % | ROCE | 31.2 % |
| ROE | 24.1 % | Face Value | 2.00 ₹ | DMA 50 | 2,975 ₹ | DMA 200 | 2,799 ₹ |
| Chg in FII Hold | 0.29 % | Chg in DII Hold | -0.22 % | PAT Qtr | 197 Cr. | PAT Prev Qtr | 245 Cr. |
| RSI | 48.7 | MACD | 57.9 | Volume | 1,58,412 | Avg Vol 1Wk | 80,425 |
| Low price | 2,330 ₹ | High price | 3,315 ₹ | PEG Ratio | 1.98 | Debt to equity | 0.01 |
| 52w Index | 69.9 % | Qtr Profit Var | 1.99 % | EPS | 75.8 ₹ | Industry PE | 31.6 |
📊 Chart Patterns: AJANTPHARM is forming a higher-low structure with resistance near ₹3,100–₹3,150 and support around ₹2,975 (50 DMA). Trendlines suggest a bullish continuation pattern.
📈 Moving Averages: Current price (₹3,018) is above both 50 DMA (₹2,975) and 200 DMA (₹2,799), confirming strong bullish alignment.
📊 RSI: At 48.7, RSI indicates neutral momentum, slightly leaning toward consolidation.
📉 MACD: Positive at 57.9, confirming bullish crossover and short-term upward momentum.
📊 Bollinger Bands: Price is mid-band, suggesting potential expansion toward upper band (~₹3,100–₹3,150).
📊 Volume Trends: Current volume (1,58,412) is higher than 1-week average (80,425), showing strong participation and accumulation.
🚀 Momentum Signals: Bullish bias with potential breakout if price sustains above ₹3,100.
🎯 Entry Zone: ₹2,975–₹3,020 (near 50 DMA support).
🎯 Exit Zone: ₹3,100–₹3,150 (resistance zone and upper Bollinger band).
📌 Trend Status: Trending upward with consolidation near resistance.
Positive
- Strong ROCE (31.2%) and ROE (24.1%) highlight efficient capital use.
- Price trading above both 50 DMA and 200 DMA confirms bullish structure.
- EPS at ₹75.8 supports strong earnings visibility.
- FII holdings increased (+0.29%), reflecting foreign investor confidence.
Limitation
- High P/E (39.8) compared to industry PE (31.6) suggests premium valuation.
- Quarterly PAT declined from ₹245 Cr. to ₹197 Cr., showing earnings pressure.
- RSI near neutral zone indicates limited momentum strength.
Company Negative News
- DII holdings decreased (-0.22%), showing reduced domestic institutional support.
- Quarterly profit decline raises concerns about earnings consistency.
Company Positive News
- Strong fundamentals with high ROCE and ROE.
- Dividend yield of 0.93% adds shareholder value.
- Stock trading near 52-week high (₹3,315) reflects strong investor sentiment.
Industry
- Industry PE at 31.6 reflects moderate sector valuation.
- Pharma sector benefiting from global demand and healthcare expansion.
- AJANTPHARM outperforming peers with superior capital efficiency metrics.
Conclusion
AJANTPHARM shows bullish technical signals supported by fundamentals. Entry near ₹2,975–₹3,020 offers favorable risk-reward with exit targets around ₹3,100–₹3,150. Trend remains upward but requires monitoring of earnings consistency and valuation risks for sustained growth.
This can be standardized into a pharma sector technical template with benchmarking overlays, so you can compare AJANTPHARM against peers like SUNPHARMA and CIPLA.