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CDSL - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.6
| Stock Code | CDSL | Market Cap | 25,857 Cr. | Current Price | 1,237 ₹ | High / Low | 1,829 ₹ |
| Stock P/E | 53.9 | Book Value | 67.4 ₹ | Dividend Yield | 1.02 % | ROCE | 46.5 % |
| ROE | 36.3 % | Face Value | 10.0 ₹ | DMA 50 | 1,446 ₹ | DMA 200 | 1,495 ₹ |
| Chg in FII Hold | 0.86 % | Chg in DII Hold | 0.94 % | PAT Qtr | 120 Cr. | PAT Prev Qtr | 128 Cr. |
| RSI | 24.4 | MACD | -52.3 | Volume | 57,85,378 | Avg Vol 1Wk | 27,63,731 |
| Low price | 1,047 ₹ | High price | 1,829 ₹ | PEG Ratio | 2.61 | Debt to equity | 0.00 |
| 52w Index | 24.3 % | Qtr Profit Var | 14.3 % | EPS | 23.0 ₹ | Industry PE | 49.1 |
📊 Technical Analysis
- Chart Patterns: CDSL has been in a corrective downtrend from its 52-week high of 1,829 ₹, currently consolidating near 1,237 ₹.
- Moving Averages: Price (1,237 ₹) is below both 50 DMA (1,446 ₹) and 200 DMA (1,495 ₹), confirming bearish momentum.
- RSI: At 24.4, oversold zone — potential rebound possible.
- MACD: Negative (-52.3), reinforcing bearish sentiment.
- Bollinger Bands: Price near lower band, signaling possible support zone.
- Volume Trends: Current volume (57.8 lakh) above 1-week average (27.6 lakh), showing strong selling pressure.
📈 Momentum & Signals
- Short-term Momentum: Weak due to negative MACD and oversold RSI.
- Support Levels: 1,200 ₹ (near-term), 1,047 ₹ (major support).
- Resistance Levels: 1,300 ₹ (short-term), 1,446 ₹ (50 DMA).
- Optimal Entry Zone: 1,180–1,220 ₹ (close to support).
- Optimal Exit Zone: 1,300–1,400 ₹ (near resistance).
- Trend Status: Reversing into bearish territory with oversold signals.
✅ Positive
- Strong ROCE (46.5%) and ROE (36.3%) highlight excellent capital efficiency.
- Debt-free balance sheet (Debt-to-equity 0.00) reduces financial risk.
- FII (+0.86%) and DII (+0.94%) holdings increased, showing institutional confidence.
⚠️ Limitation
- High P/E (53.9) compared to industry PE (49.1), suggesting premium valuation.
- PEG ratio of 2.61 indicates limited growth relative to valuation.
- Quarterly PAT declined (120 Cr vs 128 Cr), showing earnings pressure.
📉 Company Negative News
- Stock trading below both 50 DMA and 200 DMA, signaling weakness.
- Recent decline in quarterly profit raises concerns about near-term growth.
📈 Company Positive News
- Quarterly profit variation of 14.3% highlights resilience despite decline.
- EPS of 23 ₹ supports long-term earnings visibility.
🏭 Industry
- Financial services sector supported by rising retail participation in capital markets.
- Industry PE at 49.1 vs stock PE at 53.9 — stock trades at premium valuation.
🔎 Conclusion
- CDSL is reversing into bearish territory with oversold technical signals.
- Best entry near 1,180–1,220 ₹, exit near 1,300–1,400 ₹ unless breakout above 1,446 ₹ occurs.
- Medium-term outlook cautious due to valuation premium and weak momentum, though strong fundamentals and debt-free status provide stability.