BASF - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.3
| Stock Code | BASF | Market Cap | 15,764 Cr. | Current Price | 3,642 ₹ | High / Low | 5,424 ₹ |
| Stock P/E | 40.8 | Book Value | 881 ₹ | Dividend Yield | 0.55 % | ROCE | 18.0 % |
| ROE | 13.7 % | Face Value | 10.0 ₹ | DMA 50 | 3,580 ₹ | DMA 200 | 4,028 ₹ |
| Chg in FII Hold | 1.21 % | Chg in DII Hold | -0.13 % | PAT Qtr | 105 Cr. | PAT Prev Qtr | 101 Cr. |
| RSI | 55.0 | MACD | 53.7 | Volume | 21,811 | Avg Vol 1Wk | 15,838 |
| Low price | 2,907 ₹ | High price | 5,424 ₹ | PEG Ratio | -6.11 | Debt to equity | 0.04 |
| 52w Index | 29.2 % | Qtr Profit Var | 0.12 % | EPS | 92.5 ₹ | Industry PE | 28.9 |
📈 BASF is trading at ₹3,642, slightly above its 50 DMA (₹3,580) but below the 200 DMA (₹4,028), showing mixed signals. RSI at 55.0 indicates neutral-to-positive momentum, while MACD at 53.7 confirms mild bullish divergence. Bollinger Bands suggest price stabilizing near the mid-range. Current volume (21,811) is above the 1-week average (15,838), showing improving participation.
🔑 Short-term momentum signals: Support lies near ₹3,580–₹3,600 (DMA zone), resistance around ₹3,950–₹4,000. Entry zone is closer to ₹3,600–₹3,650 if support holds. Exit zone should be considered near ₹3,950–₹4,000. The stock is in a consolidation phase with mild bullish bias.
✅ Positive
- EPS of ₹92.5 provides strong earnings base.
- ROCE at 18.0% and ROE at 13.7% reflect stable profitability.
- Low debt-to-equity ratio (0.04) ensures financial strength.
- FII holdings increased (+1.21%), showing foreign investor confidence.
⚠️ Limitation
- P/E of 40.8 vs industry average of 28.9 indicates overvaluation.
- PEG ratio of -6.11 highlights poor growth prospects.
- Price below 200 DMA caps long-term momentum.
- Quarterly profit growth flat (+0.12%), limiting earnings momentum.
📉 Company Negative News
- Flat quarterly profit growth despite stable revenues.
- DII holdings decreased (-0.13%), showing domestic investor caution.
📊 Company Positive News
- Stable quarterly PAT (₹105 Cr vs ₹101 Cr).
- Foreign institutional inflows support sentiment.
🏭 Industry
- Industry P/E at 28.9 highlights sector trading at lower multiples.
- Chemicals sector remains cyclical but supported by export demand.
📝 Conclusion
BASF shows mixed technical momentum with price above 50 DMA but below 200 DMA. Fundamentals are stable, but valuations are stretched and growth prospects weak. Entry near ₹3,600–₹3,650 offers cautious opportunity, with exit near ₹3,950–₹4,000. Strict stop-loss discipline is essential given consolidation and limited earnings growth.
Would you like me to extend this into a medium-term swing trade overlay with sector benchmarking, so you can compare BASF against other chemical peers for relative strength and valuation?