BAJAJ-AUTO - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.1
| Stock Code | BAJAJ-AUTO | Market Cap | 2,79,330 Cr. | Current Price | 9,994 ₹ | High / Low | 10,187 ₹ |
| Stock P/E | 30.4 | Book Value | 1,100 ₹ | Dividend Yield | 2.10 % | ROCE | 37.6 % |
| ROE | 28.5 % | Face Value | 10.0 ₹ | DMA 50 | 9,477 ₹ | DMA 200 | 9,185 ₹ |
| Chg in FII Hold | -0.02 % | Chg in DII Hold | 0.28 % | PAT Qtr | 2,549 Cr. | PAT Prev Qtr | 2,480 Cr. |
| RSI | 62.9 | MACD | 106 | Volume | 12,58,037 | Avg Vol 1Wk | 4,89,076 |
| Low price | 7,556 ₹ | High price | 10,187 ₹ | PEG Ratio | 1.57 | Debt to equity | 0.00 |
| 52w Index | 92.7 % | Qtr Profit Var | 20.9 % | EPS | 327 ₹ | Industry PE | 31.2 |
📈 BAJAJ-AUTO is trading at ₹9,994, above both its 50 DMA (₹9,477) and 200 DMA (₹9,185), confirming strong bullish alignment. RSI at 62.9 indicates healthy momentum without being overbought. MACD at 106 supports bullish divergence. Bollinger Bands show price testing the upper band, suggesting breakout potential. Current volume (12,58,037) is significantly above the 1-week average (4,89,076), confirming strong participation.
🔑 Short-term momentum signals: Support lies near ₹9,450–₹9,500 (DMA zone), resistance around ₹10,150–₹10,200 (recent high). Entry zone is closer to ₹9,500–₹9,600 on pullbacks. Exit zone should be considered near ₹10,150–₹10,200. The stock is in a trending phase with strong bullish bias.
✅ Positive
- Debt-free balance sheet ensures financial strength.
- ROCE (37.6%) and ROE (28.5%) highlight exceptional efficiency.
- EPS of ₹327 provides strong earnings base.
- Quarterly PAT growth (+20.9%, ₹2,549 Cr vs ₹2,480 Cr).
- Dividend yield of 2.10% adds shareholder value.
⚠️ Limitation
- P/E of 30.4 vs industry average of 31.2 indicates fair valuation but not cheap.
- PEG ratio of 1.57 suggests moderate growth premium.
- Minor decline in FII holdings (-0.02%) shows slight foreign caution.
📉 Company Negative News
- Marginal reduction in foreign institutional holdings.
- Stock trading near 52-week high may face resistance.
📊 Company Positive News
- Strong quarterly profit growth.
- Domestic institutional inflows (+0.28%) support sentiment.
- Technical strength confirmed by volume surge.
🏭 Industry
- Industry P/E at 31.2 highlights sector trading at similar multiples.
- Automobile sector remains resilient with strong demand outlook.
📝 Conclusion
BAJAJ-AUTO is trending upward with strong bullish technical signals supported by earnings growth and institutional inflows. Entry near ₹9,500–₹9,600 offers favorable risk-reward, with exit around ₹10,150–₹10,200. Momentum trades should be managed with strict stop-loss discipline as the stock approaches resistance near its 52-week high.
Would you like me to extend this into a sector overlay benchmarking module comparing BAJAJ-AUTO against peers like Hero MotoCorp and TVS Motor for relative strength and valuation?