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ASTRAZEN - Technical Analysis with Chart Patterns & Indicators

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Rating: 2.8

Last Updated Time : 04 May 26, 11:56 am

Technical Rating: 2.8

Stock Code ASTRAZEN Market Cap 20,532 Cr. Current Price 8,213 ₹ High / Low 10,691 ₹
Stock P/E 98.7 Book Value 320 ₹ Dividend Yield 0.39 % ROCE 33.4 %
ROE 23.6 % Face Value 2.00 ₹ DMA 50 8,440 ₹ DMA 200 8,570 ₹
Chg in FII Hold 0.07 % Chg in DII Hold 0.24 % PAT Qtr 31.6 Cr. PAT Prev Qtr 58.1 Cr.
RSI 43.6 MACD 12.1 Volume 11,763 Avg Vol 1Wk 6,780
Low price 7,552 ₹ High price 10,691 ₹ PEG Ratio 2.28 Debt to equity 0.04
52w Index 21.1 % Qtr Profit Var -42.3 % EPS 80.4 ₹ Industry PE 30.1

📉 ASTRAZEN is trading at ₹8,213, below both its 50 DMA (₹8,440) and 200 DMA (₹8,570), signaling weakness. RSI at 43.6 indicates bearish momentum, while MACD at 12.1 shows mild positive divergence but lacks strong confirmation. Bollinger Bands suggest price consolidation near the lower band. Volume (11,763) is slightly above the 1-week average (6,780), showing moderate activity but not strong conviction.

🔑 Short-term momentum signals: Weak trend with support near ₹7,552 and resistance around ₹8,440–₹8,570. Entry zone lies closer to ₹7,600–₹7,700 if support holds. Exit zone should be considered near ₹8,400–₹8,600 unless momentum strengthens. The stock is in a consolidation phase with bearish bias.

✅ Positive

  • Low debt-to-equity ratio (0.04) ensures balance sheet strength.
  • EPS of ₹80.4 is strong relative to peers.
  • ROCE at 33.4% and ROE at 23.6% reflect efficient capital use.

⚠️ Limitation

  • High P/E of 98.7 vs industry average of 30.1 indicates overvaluation.
  • Quarterly profit dropped -42.3%, showing earnings pressure.
  • PEG ratio of 2.28 suggests expensive growth prospects.

📉 Company Negative News

  • Sharp decline in quarterly PAT (₹31.6 Cr vs ₹58.1 Cr).
  • Weak 52-week performance at 21.1% index level.

📊 Company Positive News

  • Stable institutional holding with slight increase in DII (+0.24%).
  • Consistent dividend yield (0.39%) supports investor confidence.

🏭 Industry

  • Industry P/E at 30.1 highlights sector valuation gap.
  • Healthcare sector remains defensive but faces margin pressures.

📝 Conclusion

ASTRAZEN shows weak technical momentum with price below key moving averages and RSI in bearish territory. Fundamentals remain strong, but overvaluation and profit decline weigh heavily. Best suited for cautious monitoring with entry near support zones and strict stop-loss discipline.

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