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BEML - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.9

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

Technical Rating: 3.9

Stock Code BEML Market Cap 15,252 Cr. Current Price 1,830 ₹ High / Low 2,437 ₹
Stock P/E 59.5 Book Value 333 ₹ Dividend Yield 0.58 % ROCE 16.1 %
ROE 10.6 % Face Value 5.00 ₹ DMA 50 1,767 ₹ DMA 200 1,805 ₹
Chg in FII Hold 0.08 % Chg in DII Hold 0.32 % PAT Qtr -22.7 Cr. PAT Prev Qtr 54.8 Cr.
RSI 53.4 MACD 24.7 Volume 2,05,376 Avg Vol 1Wk 2,18,206
Low price 1,355 ₹ High price 2,437 ₹ PEG Ratio 2.01 Debt to equity 0.24
52w Index 43.8 % Qtr Profit Var -192 % EPS 30.8 ₹ Industry PE 35.9

  • 📈 Chart Patterns: BEML is trading at 1,830 ₹, showing recovery momentum after recent weakness. Support lies around 1,770–1,800 ₹, resistance near 1,880–1,900 ₹. Trendlines suggest sideways consolidation with mild bullish bias.
  • 📊 Moving Averages: Price is above 50 DMA (1,767 ₹) and slightly above 200 DMA (1,805 ₹), confirming medium-term strength.
  • 📉 RSI: At 53.4, RSI is neutral, indicating balanced momentum without overbought/oversold signals.
  • 📈 MACD: Positive (24.7), showing short-term bullish divergence.
  • 📊 Bollinger Bands: Price is near the mid-band, suggesting consolidation with potential breakout if volumes improve.
  • 📊 Volume Trends: Current volume (2,05,376) is slightly below weekly average (2,18,206), showing moderate participation.
  • 📌 Momentum Signals: Entry zone around 1,770–1,800 ₹; exit zone near 1,880–1,900 ₹.
  • 🔄 Trend Status: Consolidating with bullish bias.

Positive

- Price above both 50 DMA and 200 DMA supports bullish undertone.

- MACD positive, signaling short-term upward momentum.

- FII (+0.08%) and DII (+0.32%) holdings increased, showing institutional support.

Limitation

- RSI neutral, limiting immediate upside.

- PEG ratio (2.01) suggests moderate overvaluation.

- Volume slightly below average, reducing conviction in breakout potential.

Company Negative News

- Quarterly PAT turned negative (-22.7 Cr. vs 54.8 Cr.), raising earnings concerns.

- Profit variation (-192%) highlights volatility in performance.

Company Positive News

- EPS of 30.8 ₹ provides earnings base.

- Institutional inflows support stability.

- Dividend yield of 0.58% offers shareholder return.

Industry

- Industry P/E at 35.9 highlights sector trading at lower multiples compared to BEML’s 59.5.

- Capital goods sector remains cyclical but supported by infrastructure demand.

Conclusion

BEML is consolidating with bullish bias supported by MACD and price above key moving averages. Entry near 1,770–1,800 ₹ offers favorable positioning, with exit targets around 1,880–1,900 ₹. However, weak quarterly earnings and stretched valuation warrant cautious trading with strict stop-loss discipline.

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