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BALKRISIND - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.6

Last Updated Time : 03 Feb 26, 05:01 pm

Technical Rating: 3.6

Stock Code BALKRISIND Market Cap 44,299 Cr. Current Price 2,292 ₹ High / Low 2,840 ₹
Stock P/E 34.3 Book Value 540 ₹ Dividend Yield 0.69 % ROCE 16.5 %
ROE 15.5 % Face Value 2.00 ₹ DMA 50 2,368 ₹ DMA 200 2,443 ₹
Chg in FII Hold 0.30 % Chg in DII Hold -0.13 % PAT Qtr 375 Cr. PAT Prev Qtr 265 Cr.
RSI 36.4 MACD -1.94 Volume 83,745 Avg Vol 1Wk 2,65,922
Low price 2,152 ₹ High price 2,840 ₹ PEG Ratio 7.89 Debt to equity 0.35
52w Index 20.3 % Qtr Profit Var -14.7 % EPS 66.7 ₹ Industry PE 28.3

📈 Technical Analysis

  • Chart Patterns: Price is below both 50 DMA (2,368 ₹) and 200 DMA (2,443 ₹), showing weakness.
  • Moving Averages: Current price (2,292 ₹) is under DMAs, indicating bearish bias.
  • RSI: At 36.4, nearing oversold territory, suggesting potential rebound.
  • MACD: Negative (-1.94), confirming bearish momentum.
  • Bollinger Bands: Price is near lower band, showing oversold conditions.
  • Volume Trends: Current volume (83,745) is well below 1-week average (2,65,922), indicating weak participation.

📊 Momentum & Trend

  • Short-term Momentum: Bearish with RSI weak and MACD negative.
  • Support Zone: 2,150 ₹ – 2,200 ₹ (near recent lows).
  • Resistance Zone: 2,350 ₹ – 2,370 ₹ (near 50 DMA).
  • Trend: Consolidating with bearish bias.
  • Optimal Entry: Around 2,150 ₹ – 2,200 ₹ if support holds.
  • Optimal Exit: Around 2,350 ₹ – 2,370 ₹ unless breakout occurs.

✅ Positive

  • ROCE (16.5%) and ROE (15.5%) show decent efficiency.
  • Dividend yield of 0.69% provides investor returns.
  • Quarterly PAT improved (375 Cr vs 265 Cr), showing earnings recovery.
  • FII holding increased (+0.30%), showing foreign investor confidence.

⚠️ Limitation

  • P/E (34.3) is higher than industry average (28.3), suggesting overvaluation.
  • PEG ratio (7.89) indicates valuation is stretched relative to growth.
  • Debt-to-equity ratio (0.35) adds moderate leverage risk.
  • Quarterly profit variation (-14.7%) highlights earnings volatility.

📉 Company Negative News

  • DII holding decreased (-0.13%), showing weaker domestic institutional support.
  • Trading volume is significantly lower than average, indicating reduced market interest.

📈 Company Positive News

  • Quarterly PAT growth compared to previous quarter shows operational improvement.
  • FII holding increased (+0.30%), reflecting foreign investor confidence.

🏭 Industry

  • Industry PE at 28.3, lower than company PE, suggesting valuation premium.
  • Sector outlook remains steady, but company trades at higher multiples than peers.

🔎 Conclusion

  • Stock is consolidating with bearish signals but nearing oversold territory.
  • Entry near support (2,150 ₹ – 2,200 ₹) could be favorable for short-term rebound trades.
  • Exit near resistance (2,350 ₹ – 2,370 ₹) unless breakout confirms reversal.
  • Long-term investors should be cautious due to stretched valuations and moderate leverage despite improving profitability.

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