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APLAPOLLO - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.3

Last Updated Time : 19 Mar 26, 08:55 pm

Technical Rating: 3.3

Stock Code APLAPOLLO Market Cap 55,794 Cr. Current Price 2,010 ₹ High / Low 2,301 ₹
Stock P/E 113 Book Value 114 ₹ Dividend Yield 0.29 % ROCE 14.7 %
ROE 10.7 % Face Value 2.00 ₹ DMA 50 2,059 ₹ DMA 200 1,856 ₹
Chg in FII Hold -0.60 % Chg in DII Hold 0.99 % PAT Qtr 120 Cr. PAT Prev Qtr 106 Cr.
RSI 42.4 MACD -43.6 Volume 6,06,768 Avg Vol 1Wk 8,32,610
Low price 1,367 ₹ High price 2,301 ₹ PEG Ratio -8.34 Debt to equity 0.25
52w Index 68.8 % Qtr Profit Var 38.7 % EPS 17.8 ₹ Industry PE 18.1

📉 Chart & Trend: Current price (2,010 ₹) is below 50 DMA (2,059 ₹) but above 200 DMA (1,856 ₹), showing short-term weakness but long-term support intact.

📊 RSI: At 42.4, RSI is neutral, leaning slightly bearish with limited buying strength.

📉 MACD: Negative (-43.6), indicating bearish crossover and weak short-term momentum.

📈 Bollinger Bands: Price is near the mid-band, suggesting consolidation without strong breakout signals.

📉 Volume: Current volume (6,06,768) is below 1-week average (8,32,610), showing reduced participation and lack of accumulation.

📍 Support Levels: 1,950 ₹ (near-term), 1,850 ₹ (major support), 1,367 ₹ (long-term support).

📍 Resistance Levels: 2,060 ₹ (near-term), 2,150 ₹ (major resistance), 2,301 ₹ (52-week high).

🔎 Momentum Signal: Weak short-term momentum with bearish bias.

📌 Trend Status: Consolidating with potential reversal if support breaks.


Positive

  • Quarterly profit growth (PAT up from 106 Cr. to 120 Cr., +38.7%).
  • DII holding increased (+0.99%), reflecting strong domestic institutional support.
  • Low debt-to-equity ratio (0.25) ensures financial stability.

Limitation

  • Extremely high P/E (113) compared to industry average (18.1), indicating overvaluation.
  • Dividend yield is modest (0.29%), offering limited income support.
  • PEG ratio (-8.34) suggests poor valuation relative to growth.
  • Stock trading below 50 DMA, showing short-term weakness.

Company Negative News

  • FII holding reduced (-0.60%), showing declining foreign investor confidence.
  • Weak ROE (10.7%) and ROCE (14.7%) compared to peers.

Company Positive News

  • Quarterly profit growth signals operational improvement.
  • EPS of 17.8 ₹ reflects earnings consistency despite valuation concerns.

Industry

  • Industry P/E at 18.1 is much lower than company valuation, highlighting premium pricing risk.
  • Steel and construction sector demand remains strong, supporting long-term growth potential.

Conclusion

⚠️ APLAPOLLO is consolidating with weak short-term signals (negative MACD, neutral RSI, low volume). Entry is favorable near 1,950–2,000 ₹ with strict stop-loss at 1,850 ₹. Exit zones lie around 2,060–2,150 ₹, with breakout potential toward 2,301 ₹ if momentum strengthens. Fundamentals show profit growth and low debt, but extreme valuation and weak efficiency ratios raise caution. Traders should wait for confirmation signals; long-term investors may accumulate gradually on dips with strict risk management.

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