CGCL - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.5
| Stock Code | CGCL | Market Cap | 16,252 Cr. | Current Price | 169 ₹ | High / Low | 232 ₹ |
| Stock P/E | 21.9 | Book Value | 65.3 ₹ | Dividend Yield | 0.12 % | ROCE | 11.4 % |
| ROE | 11.0 % | Face Value | 1.00 ₹ | DMA 50 | 172 ₹ | DMA 200 | 180 ₹ |
| Chg in FII Hold | -0.33 % | Chg in DII Hold | -0.18 % | PAT Qtr | 221 Cr. | PAT Prev Qtr | 212 Cr. |
| RSI | 52.2 | MACD | -0.94 | Volume | 4,13,635 | Avg Vol 1Wk | 24,61,764 |
| Low price | 151 ₹ | High price | 232 ₹ | PEG Ratio | 0.60 | Debt to equity | 1.99 |
| 52w Index | 22.8 % | Qtr Profit Var | 104 % | EPS | 7.97 ₹ | Industry PE | 17.2 |
📈 Chart & Trend: CGCL is trading at ₹169, below its 50 DMA (₹172) and 200 DMA (₹180). This indicates short-term weakness and medium-term pressure, with the stock consolidating near support levels.
📊 Momentum Indicators:
- RSI at 52.2 suggests neutral momentum, neither overbought nor oversold.
- MACD at -0.94 shows mild bearish crossover, signaling short-term weakness.
- Bollinger Bands: Price near mid-band, no breakout signal.
- Volume: Current volume (4,13,635) is significantly lower than 1-week average (24,61,764), showing reduced participation.
🔑 Support & Resistance:
- Support zone: ₹165–₹168
- Resistance zone: ₹172–₹175 (near 50 DMA)
- Breakout resistance: ₹180–₹185 (near 200 DMA)
- Long-term support: ₹151
📌 Entry & Exit Zones:
- Entry: ₹165–₹169 (near support)
- Exit: ₹172–₹180 (resistance zone)
- Stop-loss: ₹160
📉 Trend Status: Consolidating with mild bearish bias. Needs a breakout above ₹175–₹180 to confirm reversal and trend continuation.
Positive
- EPS of ₹7.97 with PEG ratio of 0.60 indicates fair valuation with growth potential.
- Quarterly PAT growth (₹221 Cr vs ₹212 Cr) shows improving profitability.
- Qtr Profit Var at 104% reflects strong earnings momentum.
Limitation
- ROCE at 11.4% and ROE at 11% are modest compared to industry leaders.
- Stock trading below both 50 DMA and 200 DMA indicates weakness.
- Volume participation is low, reducing conviction in price moves.
Company Negative News
- No major recent negative news reported, but FII (-0.33%) and DII (-0.18%) holdings declined, showing reduced institutional confidence.
Company Positive News
- Strong quarterly profit growth and earnings momentum.
- PEG ratio below 1 indicates reasonable valuation relative to growth.
Industry
- Industry PE at 17.2 vs stock PE at 21.9 shows CGCL trades at a premium.
- NBFC sector supported by credit demand, but faces margin pressures and regulatory oversight.
Conclusion
⚡ CGCL is consolidating with mild bearish bias, trading below key moving averages. Entry near ₹165–₹169 offers margin of safety, with exit targets around ₹172–₹180. Strong earnings growth supports medium-term prospects, but modest ROCE/ROE and declining institutional holdings remain key risks.
Would you like me to extend this into a peer benchmarking overlay comparing CGCL with other NBFCs (like Bajaj Finance, Muthoot Finance, and Manappuram) to highlight relative strength, valuation gaps, and sector rotation opportunities?