ATUL - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.5
| Stock Code | ATUL | Market Cap | 18,633 Cr. | Current Price | 6,321 ₹ | High / Low | 7,793 ₹ |
| Stock P/E | 36.0 | Book Value | 1,973 ₹ | Dividend Yield | 0.39 % | ROCE | 11.9 % |
| ROE | 8.64 % | Face Value | 10.0 ₹ | DMA 50 | 6,304 ₹ | DMA 200 | 6,311 ₹ |
| Chg in FII Hold | -0.86 % | Chg in DII Hold | 0.46 % | PAT Qtr | 121 Cr. | PAT Prev Qtr | 172 Cr. |
| RSI | 49.7 | MACD | -24.5 | Volume | 18,212 | Avg Vol 1Wk | 31,667 |
| Low price | 4,752 ₹ | High price | 7,793 ₹ | PEG Ratio | -4.45 | Debt to equity | 0.00 |
| 52w Index | 51.6 % | Qtr Profit Var | 30.8 % | EPS | 176 ₹ | Industry PE | 25.7 |
📈 Chart & Trend Analysis: ATUL is trading almost exactly at its 50 DMA (6,304 ₹) and 200 DMA (6,311 ₹), with the current price at 6,321 ₹. This indicates indecision and lack of clear directional bias.
📊 Momentum Indicators: RSI at 49.7 shows neutral momentum, neither overbought nor oversold. MACD at -24.5 signals bearish crossover, suggesting short-term weakness.
📉 Bollinger Bands & Volume: Price is near the mid-band, reflecting consolidation. Current volume (18,212) is below weekly average (31,667), showing reduced participation and lack of conviction.
🔑 Support & Resistance Zones:
- Support: 6,300 ₹ (DMA cluster), 4,752 ₹ (major low)
- Resistance: 6,600–6,800 ₹ (near-term resistance), 7,793 ₹ (52-week high)
Optimal Entry: 6,200–6,300 ₹ (if support holds)
Optimal Exit: 6,600–6,800 ₹ (resistance zone)
📌 Trend Status: The stock is consolidating with mild bearish bias, showing indecision around moving averages.
Positive
- Debt-free balance sheet (Debt-to-equity 0.00).
- Strong book value (1,973 ₹) compared to current price.
- EPS of 176 ₹ supports long-term valuation strength.
Limitation
- ROCE (11.9%) and ROE (8.64%) are modest compared to peers.
- MACD negative, showing short-term weakness.
- PEG ratio (-4.45) indicates poor earnings growth relative to valuation.
Company Negative News
- Quarterly PAT declined from 172 Cr. to 121 Cr., showing earnings pressure.
- FII holding decreased (-0.86%), reflecting reduced foreign investor confidence.
Company Positive News
- DII holding increased (+0.46%), showing domestic institutional support.
- Quarterly profit variation (+30.8%) indicates some recovery momentum despite decline in absolute PAT.
Industry
- Industry PE at 25.7 is lower than ATUL’s PE (36.0), suggesting premium valuation.
- Chemicals sector outlook remains cyclical, with demand tied to industrial growth.
Conclusion
⚖️ ATUL is consolidating near its moving averages, with neutral RSI and bearish MACD signaling indecision. Fundamentals are stable with debt-free status and strong book value, but earnings pressure and modest ROE/ROCE limit upside. Traders may consider entry near 6,200–6,300 ₹ with exits around 6,600–6,800 ₹, but momentum confirmation is needed before aggressive positioning.
Would you like me to also prepare a basket overlay with peer benchmarking (comparing ATUL against other chemical sector stocks on valuation, ROE/ROCE, and momentum) so you can see relative strength before deciding entry?