ASIANPAINT - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.0
| Stock Code | ASIANPAINT | Market Cap | 2,34,476 Cr. | Current Price | 2,444 ₹ | High / Low | 2,986 ₹ |
| Stock P/E | 58.4 | Book Value | 199 ₹ | Dividend Yield | 1.01 % | ROCE | 27.3 % |
| ROE | 20.7 % | Face Value | 1.00 ₹ | DMA 50 | 2,395 ₹ | DMA 200 | 2,487 ₹ |
| Chg in FII Hold | -0.67 % | Chg in DII Hold | 0.66 % | PAT Qtr | 1,146 Cr. | PAT Prev Qtr | 956 Cr. |
| RSI | 55.9 | MACD | 50.8 | Volume | 8,81,697 | Avg Vol 1Wk | 6,39,875 |
| Low price | 2,115 ₹ | High price | 2,986 ₹ | PEG Ratio | 8.25 | Debt to equity | 0.08 |
| 52w Index | 37.8 % | Qtr Profit Var | 3.80 % | EPS | 39.4 ₹ | Industry PE | 36.6 |
📈 Chart Patterns & Moving Averages
ASIANPAINT is trading at ₹2,444, above its 50 DMA (₹2,395) but slightly below the 200 DMA (₹2,487). This indicates short-term strength but medium-term resistance overhead. Support lies near ₹2,400–2,420, while resistance is seen at ₹2,480–2,500.
📊 RSI & MACD
RSI at 55.9 reflects neutral-to-bullish momentum. MACD at 50.8 is strongly positive, confirming bullish crossover strength.
📉 Bollinger Bands
Price is near the mid-to-upper band, showing bullish bias with potential volatility. Sustained movement above ₹2,500 could trigger a breakout, while a dip below ₹2,400 may invite selling pressure.
🔎 Volume Trends
Current volume (8,81,697) is above the 1-week average (6,39,875), indicating strong participation and confirming momentum strength.
⚡ Momentum Signals
Short-term momentum is bullish with RSI and MACD aligned positively. Entry zone: ₹2,420–2,440. Exit zone: ₹2,480–2,500 if resistance breaks, with stop-loss below ₹2,400.
📌 Trend Status
The stock is trending upward with bullish bias supported by volume and MACD strength.
✅ Positive
- Strong ROCE (27.3%) and ROE (20.7%) highlight efficient capital use.
- EPS at ₹39.4 supports earnings visibility.
- DII holdings increased (+0.66%), showing domestic institutional confidence.
- Low debt-to-equity ratio (0.08) indicates strong balance sheet stability.
⚠️ Limitation
- High P/E (58.4) compared to industry average (36.6), suggesting overvaluation.
- PEG ratio at 8.25 indicates expensive growth prospects.
- Trading below 200 DMA shows medium-term resistance.
❌ Company Negative News
- FII holdings decreased (-0.67%), showing reduced foreign investor confidence.
🌟 Company Positive News
- Quarterly PAT improved (₹1,146 Cr vs ₹956 Cr).
- Strong volume participation confirms investor interest.
🏭 Industry
- Industry P/E at 36.6 is lower than ASIANPAINT’s P/E, suggesting premium valuation.
- Paints and coatings sector outlook remains positive with strong demand drivers.
📌 Conclusion
ASIANPAINT is trending upward with strong fundamentals and bullish technical signals. Entry near ₹2,420–2,440 offers favorable risk-reward, while profit booking is advised around ₹2,480–2,500 unless breakout occurs above ₹2,500 with strong volume. Suitable for swing trades and medium-term investors, but caution is warranted due to high valuations and premium growth expectations.
This version is tuned for swing trade analysis with valuation overlays. Would you like me to also prepare a long-term investment horizon (3–5 years) view for ASIANPAINT with partial exit guidance?