BEML - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 3.9

📈 BEML is currently trending upward with bullish momentum indicators, though recent profit volatility and valuation concerns warrant caution for short-term trades.

📊 Technical Analysis Summary

• Trend Status: Trending upward
• RSI (53.9): Neutral to bullish — momentum building
• MACD (18.0): Bullish crossover — confirms upward momentum
• Volume: Near 1-week average — steady participation
• DMA 50 & 200: Price above both — confirms bullish trend
• Bollinger Bands: Price near mid-band — room for upside

Sources: Investing.com Technicals

Investing.com India

, Trendlyne Analysis

Trendlyne

, TradingView Chart

TradingView

🎯 Entry & Exit Zones

• Support Levels: ₹2,143, ₹2,100, ₹2,050
• Resistance Levels: ₹2,250, ₹2,300, ₹2,437
• Optimal Entry: ₹2,150–₹2,180 (on minor pullback)
• Exit Target: ₹2,300–₹2,430 (short-term resistance)

✅ Positive

• Price above 50 DMA and 200 DMA — confirms bullish structure
• ROCE (16.1%) and ROE (10.6%) — solid efficiency metrics
• EPS of ₹36.0 — consistent earnings base
• Low debt-to-equity ratio (0.08) — financial stability

⚠️ Limitation

• High P/E (61.1) and PEG ratio (2.06) — valuation concerns
• Quarterly PAT turned negative (-₹63.9 Cr) — earnings volatility
• Volume slightly below average — moderate conviction
• Low dividend yield (0.48%)

📉 Company Negative News

• Significant drop in quarterly profit — from ₹288 Cr to -₹63.9 Cr
• DII holding declined by 0.26% — sentiment softening

📈 Company Positive News

• FII holding increased by 0.15% — institutional confidence
• Strong price recovery from 52-week low — up 81.6%

🏭 Industry

• Sector: Commercial Vehicles & Defense Equipment
• Industry P/E: 34.3 vs BEML’s P/E: 61.1 — significantly overvalued
• Government contracts and infrastructure push support long-term growth

🧾 Conclusion

• BEML is in a bullish trend with technical strength
• Entry near ₹2,150–₹2,180 with targets at ₹2,300–₹2,430
• Monitor earnings recovery and volume for sustained upside
• Valuation remains stretched — suitable for momentum traders with risk tolerance