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CHAMBLFERT - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.8

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

Technical Rating: 3.8

Stock Code CHAMBLFERT Market Cap 17,348 Cr. Current Price 433 ₹ High / Low 742 ₹
Stock P/E 9.42 Book Value 241 ₹ Dividend Yield 2.30 % ROCE 27.6 %
ROE 20.3 % Face Value 10.0 ₹ DMA 50 453 ₹ DMA 200 497 ₹
Chg in FII Hold -2.68 % Chg in DII Hold 0.65 % PAT Qtr 602 Cr. PAT Prev Qtr 638 Cr.
RSI 41.3 MACD -6.12 Volume 16,56,975 Avg Vol 1Wk 10,69,033
Low price 410 ₹ High price 742 ₹ PEG Ratio 1.25 Debt to equity 0.00
52w Index 6.88 % Qtr Profit Var 20.2 % EPS 46.0 ₹ Industry PE 18.5

📊 Technical Analysis

  • Chart Patterns: CHAMBLFERT has corrected from its 52-week high of 742 ₹ and is consolidating near 433 ₹.
  • Moving Averages: Price (433 ₹) is below both 50 DMA (453 ₹) and 200 DMA (497 ₹), confirming bearish momentum.
  • RSI: At 41.3, neutral to weak — closer to oversold territory.
  • MACD: Negative (-6.12), reinforcing bearish sentiment.
  • Bollinger Bands: Price near lower band, suggesting possible support zone.
  • Volume Trends: Current volume (16.5 lakh) above 1-week average (10.7 lakh), showing strong activity despite weakness.

📈 Momentum & Signals

  • Short-term Momentum: Weak due to negative MACD and RSI below 50.
  • Support Levels: 425 ₹ (near-term), 410 ₹ (major support).
  • Resistance Levels: 453 ₹ (50 DMA), 497 ₹ (200 DMA).
  • Optimal Entry Zone: 420–435 ₹ (close to support).
  • Optimal Exit Zone: 455–480 ₹ (near resistance).
  • Trend Status: Consolidating with bearish bias.

✅ Positive

  • Low P/E (9.42) compared to industry PE (18.5), indicating undervaluation.
  • Strong ROCE (27.6%) and ROE (20.3%) highlight efficient capital usage.
  • Debt-free balance sheet (Debt-to-equity 0.00) reduces financial risk.

⚠️ Limitation

  • Quarterly PAT declined (602 Cr vs 638 Cr), showing earnings pressure.
  • PEG ratio of 1.25 indicates moderate growth relative to valuation.
  • Stock trading below both 50 DMA and 200 DMA, signaling weakness.

📉 Company Negative News

  • FII holdings decreased (-2.68%), showing reduced foreign investor confidence.
  • 52-week index at 6.88% indicates stock trading near lower end of its range.

📈 Company Positive News

  • DII holdings increased (+0.65%), showing domestic institutional support.
  • Quarterly profit variation of 20.2% highlights resilience despite sequential decline.

🏭 Industry

  • Fertilizer sector supported by government subsidies and agricultural demand.
  • Industry PE at 18.5 vs stock PE at 9.42 — stock trades at discount valuation.

🔎 Conclusion

  • CHAMBLFERT is consolidating with short-term bearish signals but strong fundamentals.
  • Best entry near 420–435 ₹, exit near 455–480 ₹ unless breakout above 497 ₹ occurs.
  • Medium-term outlook cautious due to weak momentum and earnings slowdown, though low valuation and debt-free status provide support.

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