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CENTRALBK - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.7

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

Technical Rating: 3.7

Stock Code CENTRALBK Market Cap 32,911 Cr. Current Price 36.4 ₹ High / Low 52.8 ₹
Stock P/E 7.11 Book Value 43.1 ₹ Dividend Yield 1.64 % ROCE 5.45 %
ROE 11.1 % Face Value 10.0 ₹ DMA 50 37.4 ₹ DMA 200 39.4 ₹
Chg in FII Hold -0.03 % Chg in DII Hold -0.04 % PAT Qtr 1,263 Cr. PAT Prev Qtr 1,213 Cr.
RSI 43.4 MACD -0.20 Volume 1,02,26,574 Avg Vol 1Wk 81,54,702
Low price 32.8 ₹ High price 52.8 ₹ PEG Ratio 0.13 Debt to equity 12.4
52w Index 18.0 % Qtr Profit Var 31.7 % EPS 5.17 ₹ Industry PE 7.64

📊 Technical Analysis

  • Chart Patterns: CENTRALBK has corrected from its 52-week high of 52.8 ₹ and is consolidating near 36.4 ₹.
  • Moving Averages: Price (36.4 ₹) is below both 50 DMA (37.4 ₹) and 200 DMA (39.4 ₹), showing short-term and medium-term weakness.
  • RSI: At 43.4, neutral to weak — closer to oversold zone.
  • MACD: Negative (-0.20), indicating bearish momentum.
  • Bollinger Bands: Price near lower band, suggesting possible support zone.
  • Volume Trends: Current volume (1.02 Cr) above 1-week average (0.81 Cr), showing heightened activity despite weakness.

📈 Momentum & Signals

  • Short-term Momentum: Weak due to negative MACD and RSI below 50.
  • Support Levels: 35 ₹ (near-term), 32.8 ₹ (major support).
  • Resistance Levels: 38 ₹ (short-term), 39.4 ₹ (200 DMA).
  • Optimal Entry Zone: 34–36 ₹ (close to support).
  • Optimal Exit Zone: 38–40 ₹ (near resistance).
  • Trend Status: Consolidating with bearish bias.

✅ Positive

  • Low P/E (7.11) compared to industry PE (7.64), indicating undervaluation.
  • Quarterly PAT growth (1,263 Cr vs 1,213 Cr) shows improving profitability.
  • PEG ratio of 0.13 suggests strong growth potential relative to valuation.

⚠️ Limitation

  • High debt-to-equity ratio (12.4) raises financial risk.
  • ROCE (5.45%) is modest compared to peers.
  • Stock trading below both 50 DMA and 200 DMA, signaling weakness.

📉 Company Negative News

  • FII holdings decreased (-0.03%) and DII holdings decreased (-0.04%), showing reduced institutional confidence.
  • Stock trading near lower end of range, reflecting weak sentiment.

📈 Company Positive News

  • Quarterly profit variation of 31.7% highlights strong growth momentum.
  • EPS of 5.17 ₹ supports earnings visibility.

🏭 Industry

  • Banking sector supported by credit growth and government initiatives.
  • Industry PE at 7.64 vs stock PE at 7.11 — stock trades at slight discount.

🔎 Conclusion

  • CENTRALBK is consolidating with short-term bearish signals but improving fundamentals.
  • Best entry near 34–36 ₹, exit near 38–40 ₹ unless breakout above 40 ₹ occurs.
  • Medium-term outlook cautious due to high leverage and weak technicals, but valuation discount and profit growth provide support.

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