AMBUJACEM - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.5
| Stock Code | AMBUJACEM | Market Cap | 1,10,376 Cr. | Current Price | 444 ₹ | High / Low | 625 ₹ |
| Stock P/E | 30.8 | Book Value | 206 ₹ | Dividend Yield | 0.45 % | ROCE | 8.80 % |
| ROE | 8.77 % | Face Value | 2.00 ₹ | DMA 50 | 462 ₹ | DMA 200 | 516 ₹ |
| Chg in FII Hold | 0.03 % | Chg in DII Hold | -0.02 % | PAT Qtr | 227 Cr. | PAT Prev Qtr | 1,571 Cr. |
| RSI | 47.0 | MACD | 1.15 | Volume | 35,20,402 | Avg Vol 1Wk | 27,18,068 |
| Low price | 394 ₹ | High price | 625 ₹ | PEG Ratio | 1.49 | Debt to equity | 0.02 |
| 52w Index | 21.7 % | Qtr Profit Var | -87.1 % | EPS | 13.7 ₹ | Industry PE | 30.8 |
📈 Chart Patterns & Moving Averages
AMBUJACEM is trading at ₹444, below both its 50 DMA (₹462) and 200 DMA (₹516). This indicates short-term and medium-term weakness. Support lies near ₹430–440, while resistance is seen at ₹460–470.
📊 RSI & MACD
RSI at 47.0 reflects neutral-to-bearish momentum. MACD at 1.15 is mildly positive, suggesting weak bullish crossover but lacking conviction.
📉 Bollinger Bands
Price is near the lower band, showing downside bias. A breakout above ₹460 could trigger recovery, while a dip below ₹430 may invite further selling pressure.
🔎 Volume Trends
Current volume (35,20,402) is above the 1-week average (27,18,068), indicating strong participation despite weak price action. This suggests heightened volatility.
⚡ Momentum Signals
Short-term momentum is fragile with RSI neutral and MACD weakly positive. Entry zone: ₹430–440. Exit zone: ₹460–470 if resistance breaks, with stop-loss below ₹425.
📌 Trend Status
The stock is consolidating near support levels, with weak fundamentals weighing on momentum.
✅ Positive
- Debt-to-equity ratio at 0.02 indicates strong balance sheet stability.
- PEG ratio at 1.49 suggests fair valuation relative to growth.
- FII holdings increased (+0.03%), showing marginal foreign investor confidence.
⚠️ Limitation
- ROCE (8.80%) and ROE (8.77%) are weak, reflecting poor capital efficiency.
- Trading below both 50 DMA and 200 DMA shows technical weakness.
- Quarterly PAT dropped sharply (₹227 Cr vs ₹1,571 Cr).
❌ Company Negative News
- Quarterly profit variation (-87.1%) highlights severe earnings decline.
- DII holdings decreased (-0.02%), showing reduced domestic institutional confidence.
🌟 Company Positive News
- Stable EPS at ₹13.7 provides some earnings visibility.
- Strong participation in trading volumes indicates investor interest despite weakness.
🏭 Industry
- Industry P/E at 30.8 is aligned with AMBUJACEM’s P/E, suggesting fair sector valuation.
- Cement sector outlook remains stable, supported by infrastructure demand.
📌 Conclusion
AMBUJACEM is consolidating near support levels with weak fundamentals and sharp profit decline. Entry near ₹430–440 offers limited risk, while profit booking is advised around ₹460–470 unless breakout occurs above ₹480 with strong volume. Suitable only for cautious short-term trades with strict stop-loss discipline.
This version is tuned for short-term trading signals with fundamental overlays. Would you like me to also prepare a medium-term swing trade horizon (2–3 months) view for AMBUJACEM with partial exit guidance?