⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
BSOFT - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.0
| Stock Code | BSOFT | Market Cap | 11,829 Cr. | Current Price | 424 ₹ | High / Low | 541 ₹ |
| Stock P/E | 37.8 | Book Value | 60.2 ₹ | Dividend Yield | 1.49 % | ROCE | 23.5 % |
| ROE | 18.6 % | Face Value | 2.00 ₹ | DMA 50 | 414 ₹ | DMA 200 | 420 ₹ |
| Chg in FII Hold | -0.34 % | Chg in DII Hold | 2.19 % | PAT Qtr | 96.0 Cr. | PAT Prev Qtr | 101 Cr. |
| RSI | 53.1 | MACD | -2.91 | Volume | 9,96,678 | Avg Vol 1Wk | 13,32,931 |
| Low price | 330 ₹ | High price | 541 ₹ | PEG Ratio | -122 | Debt to equity | 0.07 |
| 52w Index | 44.6 % | Qtr Profit Var | 65.8 % | EPS | 10.2 ₹ | Industry PE | 24.2 |
📈 Technical Analysis
- Chart Patterns: Stock has corrected from highs (541 ₹) and is trading at 424 ₹, showing consolidation near support zones.
- Moving Averages: Current price is slightly above 50 DMA (414 ₹) and near 200 DMA (420 ₹), indicating neutral trend with mild bullish bias.
- RSI: At 53.1, stock is neutral, suggesting balanced momentum.
- MACD: Negative (-2.91), showing mild bearish divergence despite overall stability.
- Bollinger Bands: Price near mid-band, indicating sideways consolidation.
- Volume Trends: Current volume (9,96,678) is lower than average weekly volume (13,32,931), showing reduced participation and cautious sentiment.
🎯 Momentum & Trade Zones
- Short-term Momentum: Neutral to mildly bearish, consolidation signals dominate.
- Support Levels: 414 ₹ (50 DMA), 400 ₹ (major support).
- Resistance Levels: 440 ₹ (near-term), 460 ₹ (strong resistance), 541 ₹ (recent high).
- Optimal Entry: 415–425 ₹ range on dips.
- Optimal Exit: 440–460 ₹ unless breakout above 541 ₹ is confirmed.
📊 Trend Status
Stock is consolidating near support levels, with neutral RSI and mild bearish MACD suggesting sideways movement before a potential breakout.
✅ Positive
- Strong ROCE (23.5%) and ROE (18.6%).
- DII holding increased (+2.19%), showing domestic institutional confidence.
- Dividend yield of 1.49% adds investor appeal.
- Debt-to-equity ratio at 0.07, indicating strong financial stability.
⚠️ Limitation
- High valuation with P/E of 37.8 vs industry average of 24.2.
- Sequential PAT decline (96 Cr. vs 101 Cr.).
- PEG ratio (-122) indicates poor earnings growth relative to valuation.
📉 Company Negative News
- FII holding decreased (-0.34%), showing reduced foreign investor confidence.
- Quarterly profit declined sequentially.
📈 Company Positive News
- DII holding increased (+2.19%), reflecting strong domestic investor support.
- Quarterly profit growth (+65.8% YoY) highlights earnings momentum.
🏭 Industry
- IT services sector trading at industry P/E of 24.2, lower than BSOFT’s valuation.
- Sector supported by digital transformation demand and outsourcing growth.
🔎 Conclusion
BSOFT is technically consolidating with neutral RSI and mild bearish MACD. Traders may consider entry around 415–425 ₹ with exit near 440–460 ₹. Long-term investors should wait for breakout above 541 ₹ for bullish confirmation, given premium valuation and sequential profit decline.