AKZOINDIA - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.8
| Stock Code | AKZOINDIA | Market Cap | 13,304 Cr. | Current Price | 2,919 ₹ | High / Low | 3,916 ₹ |
| Stock P/E | 35.3 | Book Value | 495 ₹ | Dividend Yield | 3.42 % | ROCE | 41.7 % |
| ROE | 32.2 % | Face Value | 10.0 ₹ | DMA 50 | 2,988 ₹ | DMA 200 | 3,216 ₹ |
| Chg in FII Hold | 0.69 % | Chg in DII Hold | 6.81 % | PAT Qtr | 94.6 Cr. | PAT Prev Qtr | 83.4 Cr. |
| RSI | 49.2 | MACD | -30.2 | Volume | 23,685 | Avg Vol 1Wk | 20,095 |
| Low price | 2,649 ₹ | High price | 3,916 ₹ | PEG Ratio | 2.53 | Debt to equity | 0.03 |
| 52w Index | 21.4 % | Qtr Profit Var | -12.9 % | EPS | 429 ₹ | Industry PE | 32.2 |
📊 Chart & Trend: Current price (2,919 ₹) is trading below both 50 DMA (2,988 ₹) and 200 DMA (3,216 ₹), reflecting a mild bearish undertone. Support lies near 2,650–2,700 ₹, resistance at 2,988–3,216 ₹.
📉 Momentum Indicators: RSI at 49.2 indicates neutral momentum. MACD at -30.2 confirms bearish bias. Bollinger Bands show price moving toward the mid-band, suggesting consolidation with slight weakness.
📈 Volume Trends: Current volume (23,685) is slightly above the 1-week average (20,095), showing moderate participation but not strong conviction.
🎯 Entry Zone: 2,850–2,900 ₹ (near support, tactical entry).
🎯 Exit Zone: 3,000–3,200 ₹ (near 50–200 DMA resistance; profit booking advisable).
🔎 Trend Status: The stock is consolidating with bearish bias. Technicals show stability but lack strong bullish signals, requiring volume confirmation for breakout.
Positive
- High ROCE (41.7%) and ROE (32.2%) reflect excellent capital efficiency.
- Debt-to-equity ratio at 0.03 indicates near debt-free status.
- Dividend yield at 3.42% enhances attractiveness for income investors.
Limitation
- P/E (35.3) is slightly above industry average (32.2), suggesting overvaluation.
- PEG ratio at 2.53 indicates stretched valuation relative to growth.
- Quarterly profit variance (-12.9%) shows earnings inconsistency.
Company Negative News
- Decline in quarterly PAT (94.6 Cr vs 83.4 Cr) reflects short-term weakness.
- Stock trading below 200 DMA indicates long-term resistance.
Company Positive News
- FII holding increased (+0.69%), showing foreign investor interest.
- DII holding surged (+6.81%), reflecting strong domestic institutional confidence.
- EPS at 429 ₹ highlights robust earnings base.
Industry
- Industry PE at 32.2 suggests moderate sector valuation.
- Paints and coatings sector benefits from housing demand, infrastructure growth, and premium product adoption.
Conclusion
⚖️ AKZOINDIA is consolidating with bearish bias, trading below key moving averages. Entry near 2,850–2,900 ₹ offers tactical opportunity, with exit targets around 3,000–3,200 ₹. Strong fundamentals, high efficiency, and dividend yield support long-term attractiveness, but valuations remain stretched and earnings volatility is a concern. Best suited for cautious swing trades with stop-loss near 2,850 ₹.
Would you like me to extend this into a sector basket overlay with peer benchmarking for paints and coatings companies, so you can compare AKZOINDIA’s setup against Asian Paints, Berger Paints, and other peers for rotation opportunities?