BHARTIARTL - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:54 pm

Technical Rating: 4.1

📈 Technical Analysis

• Chart Patterns: Stock is trading close to its 52-week high (2,175 ₹), showing strong bullish momentum but facing resistance at this level.
• Moving Averages: Current price (2,094 ₹) is above both 50 DMA (2,063 ₹) and 200 DMA (1,910 ₹), confirming an uptrend.
• RSI: At 50.9, RSI is neutral, suggesting balanced momentum without overbought/oversold signals.
• MACD: Positive at 3.12, indicating bullish crossover and short-term upward momentum.
• Bollinger Bands: Price is near the upper band, signaling possible resistance and short-term consolidation.
• Volume Trends: Current volume (44,10,359) is below 1-week average (49,99,557), showing reduced participation near highs.

🎯 Momentum & Trade Zones

• Support Levels: 2,063 ₹ (50 DMA), 1,910 ₹ (200 DMA), and strong base at 1,850 ₹.
• Resistance Levels: 2,175 ₹ (52-week high). Breakout above this may lead to 2,220–2,250 ₹ zone.
• Entry Zone: 2,060–2,080 ₹ (near support, favorable risk-reward).
• Exit Zone: 2,170–2,220 ₹ (near resistance/top band).
• Trend Status: Trending upward with mild consolidation near highs.

✅ Positive

• Price trading above both 50 DMA and 200 DMA.
• Quarterly PAT improved significantly (4,545 Cr. vs 3,764 Cr.).
• EPS at 47.1 ₹ with PEG ratio of 0.48 indicates undervaluation relative to growth.
• FII (+0.70%) and DII (+0.31%) holdings increased, showing strong institutional confidence.

⚠️ Limitation

• High debt-to-equity ratio (1.16) compared to peers.
• ROCE (8.18%) and ROE (11.4%) are modest relative to valuation.
• Stock P/E (51.9) is slightly above industry average (51.2), suggesting premium pricing.

📉 Company Negative News

• High leverage with debt-to-equity ratio at 1.16.
• Capital efficiency remains moderate despite strong earnings.

📊 Company Positive News

• Quarterly PAT growth of 80.5% shows strong operational performance.
• EPS of 47.1 ₹ supports long-term earnings visibility.
• Institutional investors (FII & DII) increased stake, boosting sentiment.

🏭 Industry

• Industry P/E at 51.2, nearly aligned with Bharti Airtel’s valuation, suggesting fair pricing.
• Telecom sector benefiting from rising data consumption and 5G rollout.

📝 Conclusion

• Bharti Airtel is in a bullish trend, supported by strong fundamentals and technicals.
• Valuations are slightly premium but justified by earnings growth and sector tailwinds.
• Optimal strategy: Buy near support (2,060–2,080 ₹) and book profits near resistance (2,170–2,220 ₹).
• Short-term outlook: Consolidation near highs; long-term outlook remains positive with telecom growth drivers.