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BDL - Technical Analysis with Chart Patterns & Indicators

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Rating: 2.6

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

Technical Rating: 2.6

Stock Code BDL Market Cap 48,597 Cr. Current Price 1,326 ₹ High / Low 2,097 ₹
Stock P/E 83.8 Book Value 115 ₹ Dividend Yield 0.34 % ROCE 19.7 %
ROE 14.4 % Face Value 5.00 ₹ DMA 50 1,486 ₹ DMA 200 1,496 ₹
Chg in FII Hold -0.14 % Chg in DII Hold -0.36 % PAT Qtr 72.9 Cr. PAT Prev Qtr 216 Cr.
RSI 40.1 MACD -0.55 Volume 72,79,427 Avg Vol 1Wk 32,99,725
Low price 907 ₹ High price 2,097 ₹ PEG Ratio 50.8 Debt to equity 0.00
52w Index 35.2 % Qtr Profit Var -50.4 % EPS 15.8 ₹ Industry PE 56.2

📈 Technical Analysis

  • Chart Patterns: Stock has corrected from highs (2,097 ₹) and is trading near 1,326 ₹, showing breakdown from trendline support.
  • Moving Averages: Current price is below both 50 DMA (1,486 ₹) and 200 DMA (1,496 ₹), confirming bearish bias.
  • RSI: At 40.1, stock is weak but not oversold, suggesting limited downside with possible sideways consolidation.
  • MACD: Slightly negative (-0.55), indicating weak bearish momentum.
  • Bollinger Bands: Price near lower band, suggesting potential stabilization but no strong reversal signal yet.
  • Volume Trends: Current volume (72,79,427) is much higher than average weekly volume (32,99,725), showing strong selling pressure and volatility.

🎯 Momentum & Trade Zones

  • Short-term Momentum: Weak, with selling pressure dominating but possible consolidation ahead.
  • Support Levels: 1,300 ₹ (near-term), 1,200 ₹ (major support).
  • Resistance Levels: 1,400 ₹ (short-term), 1,486–1,496 ₹ (DMA zone).
  • Optimal Entry: 1,300–1,320 ₹ if volumes stabilize.
  • Optimal Exit: 1,400–1,480 ₹ unless trend reversal confirmed.

📊 Trend Status

Stock is trending down with high volatility. Indicators suggest possible consolidation near support but no clear reversal yet.

✅ Positive

  • Debt-free balance sheet (Debt-to-equity: 0.00).
  • Strong ROCE (19.7%) and ROE (14.4%).
  • 52-week index gain of 35.2% shows long-term investor interest.

⚠️ Limitation

  • High valuation with P/E of 83.8 vs industry P/E of 56.2.
  • PEG ratio of 50.8 indicates extremely expensive growth.
  • Quarterly profit dropped sharply (-50.4%).

📉 Company Negative News

  • PAT fell to 72.9 Cr. from 216 Cr. in previous quarter.
  • Both FII (-0.14%) and DII (-0.36%) holdings declined.

📈 Company Positive News

  • Debt-free status enhances financial stability.
  • Strong long-term fundamentals with defense sector demand visibility.

🏭 Industry

  • Defense sector trading at industry P/E of 56.2, lower than BDL’s valuation.
  • Sector supported by government defense spending and modernization programs.

🔎 Conclusion

BDL is technically weak with heavy selling pressure and high volatility. Short-term consolidation possible near 1,300 ₹, but trend remains bearish. Traders may consider cautious entry near support with exit around 1,400–1,480 ₹. Long-term investors should wait for confirmation above 1,486–1,496 ₹ before fresh entry.

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