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BATAINDIA - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.6

Last Updated Time : 28 May 26, 06:46 pm

Technical Rating: 3.6

Stock Code BATAINDIA Market Cap 8,913 Cr. Current Price 692 ₹ High / Low 1,294 ₹
Stock P/E 47.1 Book Value 118 ₹ Dividend Yield 2.74 % ROCE 15.2 %
ROE 15.6 % Face Value 5.00 ₹ DMA 50 723 ₹ DMA 200 902 ₹
Chg in FII Hold 0.25 % Chg in DII Hold -0.92 % PAT Qtr 71.9 Cr. PAT Prev Qtr 18.7 Cr.
RSI 43.2 MACD -8.07 Volume 1,70,011 Avg Vol 1Wk 1,27,601
Low price 605 ₹ High price 1,294 ₹ PEG Ratio 1.39 Debt to equity 0.91
52w Index 12.6 % Qtr Profit Var 9.87 % EPS 13.6 ₹ Industry PE 41.1

  • 📈 Chart Patterns: BATAINDIA is trading at 692 ₹, well below its 52-week high of 1,294 ₹. Support lies around 680–690 ₹, resistance near 720–740 ₹. Trendlines suggest corrective consolidation with bearish undertone.
  • 📊 Moving Averages: Price is below both 50 DMA (723 ₹) and 200 DMA (902 ₹), indicating short-term and long-term weakness.
  • 📉 RSI: At 43.2, RSI is weak, approaching oversold territory, suggesting limited downside but no strong reversal yet.
  • 📉 MACD: Negative (-8.07), confirming bearish momentum in the short term.
  • 📊 Bollinger Bands: Price is near the lower band, indicating oversold conditions and potential mean reversion.
  • 📊 Volume Trends: Current volume (1,70,011) is above weekly average (1,27,601), showing increased participation despite weakness.
  • 📌 Momentum Signals: Entry zone around 680–690 ₹; exit zone near 720–740 ₹.
  • 🔄 Trend Status: Reversing from bullish highs into corrective consolidation.

Positive

- EPS of 13.6 ₹ provides earnings base.

- Dividend yield of 2.74% adds shareholder value.

- FII holdings increased (+0.25%), showing foreign investor confidence.

- PAT improved to 71.9 Cr. from 18.7 Cr. sequentially.

Limitation

- Price below both 50 DMA and 200 DMA signals weakness.

- RSI weak and MACD negative, showing bearish bias.

- PEG ratio of 1.39 highlights moderate overvaluation.

- Debt-to-equity ratio at 0.91 adds financial risk.

Company Negative News

- DII holdings decreased (-0.92%), showing reduced domestic support.

- Weak 52-week performance (+12.6%) compared to peers.

Company Positive News

- PAT recovery highlights operational improvement.

- Dividend yield supports shareholder returns.

- FII inflows provide marginal support.

Industry

- Industry P/E at 41.1 highlights sector trading at lower multiples compared to Bata’s premium valuation.

- Footwear and retail sector remains competitive with cyclical demand trends.

Conclusion

BATAINDIA is consolidating with bearish bias, trading below key moving averages and showing weak RSI/MACD signals. Entry near 680–690 ₹ offers tactical positioning, with exit targets around 720–740 ₹. Fundamentals show dividend support and PAT recovery, but stretched valuation and weak technicals warrant cautious trading with strict stop-loss discipline.

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