BHARTIHEXA - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.8

📈 Technical Analysis

• Chart Patterns: Stock is trading below its 52-week high (2,053 ₹), showing signs of consolidation after a strong rally.
• Moving Averages: Current price (1,793 ₹) is above both 50 DMA (1,760 ₹) and 200 DMA (1,682 ₹), indicating a bullish bias.
• RSI: At 52.6, RSI is neutral, suggesting balanced momentum without overbought/oversold signals.
• MACD: Negative at -13.6, showing bearish divergence and possible short-term weakness.
• Bollinger Bands: Price is near the mid-band, signaling consolidation with limited volatility.
• Volume Trends: Current volume (1,41,960) is significantly below 1-week average (2,94,201), indicating reduced participation and weaker momentum.

🎯 Momentum & Trade Zones

• Support Levels: 1,760 ₹ (50 DMA), 1,682 ₹ (200 DMA), and strong base at 1,600 ₹.
• Resistance Levels: 1,850–1,900 ₹ (near-term resistance), 2,053 ₹ (52-week high).
• Entry Zone: 1,750–1,770 ₹ (near support, favorable risk-reward).
• Exit Zone: 1,850–1,900 ₹ (near resistance/top band).
• Trend Status: Consolidating with mild bearish signals due to negative MACD and low volume.

✅ Positive

• Price trading above both 50 DMA and 200 DMA.
• Strong ROE (25.2%) and ROCE (17.4%) indicate efficient capital use.
• Quarterly PAT improved (421 Cr. vs 392 Cr.), showing earnings growth.
• PEG ratio of 0.39 suggests undervaluation relative to growth.
• DII holdings increased (+0.43%), showing domestic institutional confidence.

⚠️ Limitation

• MACD is negative (-13.6), signaling short-term weakness.
• Volume participation is weak compared to average, reducing momentum strength.
• High debt-to-equity ratio (1.06) increases financial risk.
• Stock P/E (55.9) is above industry average (51.2), suggesting premium valuation.

📉 Company Negative News

• FII holdings decreased (-0.39%), showing reduced foreign investor confidence.
• Stock trading at only 68.7% of its 52-week range, indicating underperformance relative to highs.

📊 Company Positive News

• Quarterly PAT growth of 66.4% shows strong operational performance.
• EPS of 30.8 ₹ supports long-term earnings visibility.
• DII stake increased, boosting investor sentiment.

🏭 Industry

• Industry P/E at 51.2, slightly lower than Bharti Hexacom’s valuation, suggesting premium pricing.
• Telecom sector benefiting from rising data consumption and digital adoption across India.

📝 Conclusion

• Bharti Hexacom is consolidating after a strong rally, with mild bearish signals in the short term.
• Fundamentals remain strong with improving profits and efficient capital use, but debt levels are high.
• Optimal strategy: Buy near support (1,750–1,770 ₹) and book profits near resistance (1,850–1,900 ₹).
• Short-term outlook: Consolidation; long-term outlook remains positive if earnings growth sustains and debt is managed.