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BATAINDIA - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.4

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

Technical Rating: 3.4

Stock Code BATAINDIA Market Cap 11,089 Cr. Current Price 863 ₹ High / Low 1,425 ₹
Stock P/E 60.7 Book Value 118 ₹ Dividend Yield 2.20 % ROCE 15.2 %
ROE 15.6 % Face Value 5.00 ₹ DMA 50 943 ₹ DMA 200 1,101 ₹
Chg in FII Hold -0.71 % Chg in DII Hold -0.08 % PAT Qtr 18.7 Cr. PAT Prev Qtr 54.9 Cr.
RSI 28.2 MACD -26.9 Volume 1,48,759 Avg Vol 1Wk 1,13,752
Low price 835 ₹ High price 1,425 ₹ PEG Ratio 1.79 Debt to equity 0.91
52w Index 4.64 % Qtr Profit Var -64.2 % EPS 13.0 ₹ Industry PE 38.1

📈 Technical Analysis

  • Chart Patterns: Price is below both 50 DMA (943 ₹) and 200 DMA (1,101 ₹), showing clear weakness.
  • Moving Averages: Current price (863 ₹) is under DMAs, indicating bearish bias.
  • RSI: At 28.2, oversold, suggesting potential rebound.
  • MACD: Negative (-26.9), confirming strong bearish momentum.
  • Bollinger Bands: Price is near lower band, showing oversold conditions.
  • Volume Trends: Current volume (1,48,759) is slightly above 1-week average (1,13,752), indicating moderate participation.

📊 Momentum & Trend

  • Short-term Momentum: Bearish with RSI oversold and MACD negative.
  • Support Zone: 835 ₹ – 850 ₹ (near recent lows).
  • Resistance Zone: 940 ₹ – 950 ₹ (near 50 DMA).
  • Trend: Reversing downward with oversold signals.
  • Optimal Entry: Around 835 ₹ – 850 ₹ if support holds.
  • Optimal Exit: Around 940 ₹ – 950 ₹ unless breakout occurs.

✅ Positive

  • ROCE (15.2%) and ROE (15.6%) show decent efficiency.
  • Dividend yield of 2.20% provides investor returns.
  • Debt-to-equity ratio (0.91) is moderate, not excessive.

⚠️ Limitation

  • P/E (60.7) is much higher than industry average (38.1), suggesting overvaluation.
  • PEG ratio (1.79) indicates valuation stretched relative to growth.
  • Quarterly profit variation (-64.2%) highlights earnings volatility.

📉 Company Negative News

  • FII holding decreased (-0.71%), showing weaker foreign investor sentiment.
  • DII holding decreased (-0.08%), showing reduced domestic institutional support.
  • PAT dropped sharply (18.7 Cr vs 54.9 Cr), indicating weak performance.

📈 Company Positive News

  • Dividend yield of 2.20% provides consistent investor returns.
  • EPS of 13.0 ₹ supports valuation despite earnings decline.

🏭 Industry

  • Industry PE at 38.1, lower than company PE (60.7), suggesting valuation premium.
  • Sector outlook remains steady, but company trades at higher multiples than peers.

🔎 Conclusion

  • Stock is reversing downward with strong bearish signals but oversold RSI suggests potential rebound.
  • Entry near support (835 ₹ – 850 ₹) could be favorable for short-term rebound trades.
  • Exit near resistance (940 ₹ – 950 ₹) unless breakout confirms reversal.
  • Long-term investors should be cautious due to stretched valuations and weak quarterly earnings despite moderate debt and dividend yield.

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