AMBUJACEM - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 3.8

Technical Analysis Report

• Trend Status: Consolidating
• Moving Averages: Price (₹577) is above both 50 DMA (₹571) and 200 DMA (₹566), indicating bullish alignment
• RSI (55.0): Mild bullish momentum
• MACD (-1.45): Bearish crossover, suggesting short-term caution
• Bollinger Bands: Price near mid-band, indicating consolidation with breakout potential
• Volume: Above average (52.2L vs 26.0L), showing strong market interest
• Support Zones: ₹565, ₹550
• Resistance Zones: ₹590, ₹610
• Entry Zone: ₹565–₹575 (near support)
• Exit Zone: ₹590–₹610 (near resistance)

Positive

• Price above both key moving averages confirms bullish structure
• RSI above 50 supports upward bias
• Volume surge indicates strong investor interest
• EPS of ₹16.4 and low debt-to-equity ratio (0.01) reflect financial stability

Limitation

• MACD in negative territory signals short-term weakness
• ROCE (8.80%) and ROE (8.77%) are modest compared to peers
• PEG ratio of 1.70 suggests moderate valuation pressure

Company Negative News

• Quarterly PAT declined from ₹929 Cr to ₹855 Cr
• FII holding dropped by 1.52%, reflecting cautious foreign sentiment

Company Positive News

• Quarterly profit variation of +48.3% shows strong year-over-year growth
• DII holding increased by 0.92%, indicating domestic institutional confidence
• Stock has gained 72.3% from its 52-week low

Industry

• Cement sector remains cyclical but benefits from infrastructure and housing demand
• Industry P/E of 38.9 suggests AMBUJACEM trades slightly below sector average

Conclusion

• AMBUJACEM is in a consolidation phase with bullish undertones
• Entry near ₹565–₹575 offers a tactical setup
• Exit near ₹590–₹610 is ideal for short-term gains
• Investors should monitor MACD and RSI for confirmation of breakout or reversal