BDL - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.6
| Stock Code | BDL | Market Cap | 47,038 Cr. | Current Price | 1,283 ₹ | High / Low | 2,097 ₹ |
| Stock P/E | 81.1 | Book Value | 115 ₹ | Dividend Yield | 0.36 % | ROCE | 19.7 % |
| ROE | 14.4 % | Face Value | 5.00 ₹ | DMA 50 | 1,338 ₹ | DMA 200 | 1,399 ₹ |
| Chg in FII Hold | -0.27 % | Chg in DII Hold | 0.03 % | PAT Qtr | 72.9 Cr. | PAT Prev Qtr | 216 Cr. |
| RSI | 39.8 | MACD | -11.4 | Volume | 14,90,101 | Avg Vol 1Wk | 9,76,241 |
| Low price | 1,086 ₹ | High price | 2,097 ₹ | PEG Ratio | 49.2 | Debt to equity | 0.00 |
| 52w Index | 19.5 % | Qtr Profit Var | -50.4 % | EPS | 15.8 ₹ | Industry PE | 68.9 |
📈 Chart & Trend Analysis: BDL is trading at ₹1,283, below both its 50 DMA (₹1,338) and 200 DMA (₹1,399), indicating a bearish bias. RSI at 39.8 suggests weak momentum, nearing oversold territory. MACD at -11.4 shows negative divergence, confirming downward pressure. Bollinger Bands place the price near the lower band, signaling potential support but also weakness.
📊 Volume Trends: Current volume (14,90,101) is significantly higher than the 1-week average (9,76,241), showing strong selling activity and heightened volatility.
🔑 Support & Resistance: Key support levels are at ₹1,086 (recent low) and ₹1,200 (psychological support). Resistance lies at ₹1,338 (50 DMA) and ₹1,399 (200 DMA). Optimal entry zone: ₹1,150–₹1,200 (accumulation on dips). Exit/profit booking zone: ₹1,350–₹1,400 if recovery occurs.
📉 Momentum Signals: RSI and MACD confirm bearish momentum. Short-term signals suggest caution, with potential rebound only if price stabilizes above ₹1,200.
📌 Trend Status: The stock is currently consolidating with bearish bias, not yet reversing upward.
Positive ✅
- Zero debt-to-equity ratio ensures strong balance sheet stability.
- ROCE (19.7%) and ROE (14.4%) reflect decent capital efficiency.
- EPS at ₹15.8 remains healthy despite profit decline.
Limitation ⚠️
- High P/E ratio (81.1) compared to industry average (68.9) suggests overvaluation.
- PEG ratio of 49.2 indicates extremely expensive growth prospects.
- Quarterly PAT dropped sharply (₹72.9 Cr vs ₹216 Cr), showing earnings volatility.
Company Negative News ❌
- Decline in FII holding (-0.27%) signals reduced foreign investor confidence.
- PAT variance (-50.4%) highlights earnings weakness.
Company Positive News 🌟
- DII holding increased slightly (+0.03%), showing continued domestic institutional support.
Industry 🏭
- Defense manufacturing sector supported by government initiatives and rising demand.
- Industry P/E at 68.9 reflects premium valuations across the sector.
Conclusion 📌
BDL is technically weak, trading below key moving averages with bearish momentum. While fundamentals like zero debt and decent ROCE/ROE provide stability, earnings weakness and high valuations pose risks. Optimal strategy: accumulate cautiously near ₹1,150–₹1,200 support zones and consider profit booking near ₹1,350–₹1,400 if recovery occurs. Trend remains consolidative with bearish bias.
Would you like me to expand this into a short-term intraday plan, a swing trading setup, or a long-term investment outlook?