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CARBORUNIV - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.5

Last Updated Time : 03 Feb 26, 05:01 pm

Technical Rating: 3.5

Stock Code CARBORUNIV Market Cap 14,422 Cr. Current Price 757 ₹ High / Low 1,217 ₹
Stock P/E 40.6 Book Value 143 ₹ Dividend Yield 0.50 % ROCE 17.6 %
ROE 13.3 % Face Value 1.00 ₹ DMA 50 839 ₹ DMA 200 937 ₹
Chg in FII Hold 0.11 % Chg in DII Hold 0.19 % PAT Qtr 84.5 Cr. PAT Prev Qtr 64.3 Cr.
RSI 37.2 MACD -13.1 Volume 52,861 Avg Vol 1Wk 3,18,514
Low price 749 ₹ High price 1,217 ₹ PEG Ratio 4.94 Debt to equity 0.00
52w Index 1.81 % Qtr Profit Var 4.93 % EPS 18.6 ₹ Industry PE 47.4

📊 Technical Analysis

  • Chart Patterns: CARBORUNIV has been in a prolonged downtrend from its 52-week high of 1,217 ₹, now trading near 757 ₹, close to its 52-week low.
  • Moving Averages: Price (757 ₹) is below both 50 DMA (839 ₹) and 200 DMA (937 ₹), confirming bearish momentum.
  • RSI: At 37.2, near oversold territory, suggesting potential rebound.
  • MACD: Negative (-13.1), reinforcing bearish sentiment.
  • Bollinger Bands: Price near lower band, indicating possible support zone.
  • Volume Trends: Current volume (52,861) far below 1-week average (3,18,514), showing weak participation.

📈 Momentum & Signals

  • Short-term Momentum: Weak due to negative MACD and low RSI.
  • Support Levels: 749 ₹ (near-term), 720 ₹ (major support).
  • Resistance Levels: 800 ₹ (short-term), 839 ₹ (50 DMA), 937 ₹ (200 DMA).
  • Optimal Entry Zone: 740–760 ₹ (close to support).
  • Optimal Exit Zone: 820–850 ₹ (near resistance).
  • Trend Status: Reversing into bearish territory with weak momentum.

✅ Positive

  • Debt-free balance sheet (Debt-to-equity 0.00) reduces financial risk.
  • ROCE (17.6%) and ROE (13.3%) show decent capital efficiency.
  • Quarterly PAT growth (84.5 Cr vs 64.3 Cr) indicates improving profitability.

⚠️ Limitation

  • High P/E (40.6) compared to industry PE (47.4), still expensive relative to earnings.
  • PEG ratio of 4.94 suggests poor valuation relative to growth.
  • Stock trading near its 52-week low (Index 1.81%), reflecting weak sentiment.

📉 Company Negative News

  • Stock has broken below both 50 DMA and 200 DMA, signaling weakness.
  • Low trading volume indicates lack of investor interest.

📈 Company Positive News

  • FII holdings increased (+0.11%) and DII holdings increased (+0.19%), showing institutional support.
  • Quarterly profit variation of 4.93% highlights steady growth despite weak technicals.

🏭 Industry

  • Industrial manufacturing sector supported by infrastructure and export demand.
  • Industry PE at 47.4 vs stock PE at 40.6 — stock trades at slight discount but growth concerns remain.

🔎 Conclusion

  • CARBORUNIV is reversing into bearish territory with weak technical signals.
  • Best entry near 740–760 ₹, exit near 820–850 ₹ unless breakout above 839–937 ₹ occurs.
  • Medium-term outlook cautious due to valuation concerns and weak momentum, despite debt-free status and improving profitability.

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