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COHANCE - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.5
| Stock Code | COHANCE | Market Cap | 14,191 Cr. | Current Price | 371 ₹ | High / Low | 1,328 ₹ |
| Stock P/E | 38.2 | Book Value | 115 ₹ | Dividend Yield | 0.00 % | ROCE | 16.0 % |
| ROE | 12.5 % | Face Value | 1.00 ₹ | DMA 50 | 510 ₹ | DMA 200 | 769 ₹ |
| Chg in FII Hold | -0.50 % | Chg in DII Hold | 0.76 % | PAT Qtr | 94.3 Cr. | PAT Prev Qtr | 58.6 Cr. |
| RSI | 14.2 | MACD | -43.2 | Volume | 2,50,645 | Avg Vol 1Wk | 4,65,690 |
| Low price | 356 ₹ | High price | 1,328 ₹ | PEG Ratio | -1.85 | Debt to equity | 0.05 |
| 52w Index | 1.54 % | Qtr Profit Var | -32.2 % | EPS | 12.0 ₹ | Industry PE | 29.1 |
📊 Technical Analysis
- Chart Patterns: COHANCE has corrected sharply from its 52-week high of 1,328 ₹ and is consolidating near 371 ₹.
- Moving Averages: Price (371 ₹) is well below both 50 DMA (510 ₹) and 200 DMA (769 ₹), confirming strong bearish momentum.
- RSI: At 14.2, deeply oversold — potential rebound possible.
- MACD: Negative (-43.2), reinforcing bearish sentiment.
- Bollinger Bands: Price near lower band, suggesting oversold conditions.
- Volume Trends: Current volume (2.5 lakh) below 1-week average (4.65 lakh), showing weak participation.
📈 Momentum & Signals
- Short-term Momentum: Weak due to negative MACD and extremely oversold RSI.
- Support Levels: 360 ₹ (near-term), 356 ₹ (major support).
- Resistance Levels: 390 ₹ (short-term), 420 ₹ (next resistance).
- Optimal Entry Zone: 360–375 ₹ (close to support).
- Optimal Exit Zone: 390–420 ₹ (near resistance).
- Trend Status: Strongly bearish, but oversold signals suggest possible reversal.
✅ Positive
- ROCE (16.0%) and ROE (12.5%) show moderate efficiency.
- EPS of 12.0 ₹ supports earnings visibility.
- DII holdings increased (+0.76%), showing domestic institutional support.
- Debt-to-equity ratio of 0.05 indicates very low leverage.
⚠️ Limitation
- P/E (38.2) above industry PE (29.1), suggesting premium valuation despite correction.
- PEG ratio (-1.85) indicates poor valuation relative to growth.
- Stock trading far below both 50 DMA and 200 DMA, signaling strong weakness.
📉 Company Negative News
- FII holdings decreased (-0.50%), showing reduced foreign investor confidence.
- Quarterly profit variation (-32.2%) highlights earnings slowdown.
- Stock trading near bottom of 52-week index (1.54%), reflecting steep correction.
📈 Company Positive News
- Sequential PAT growth (94.3 Cr vs 58.6 Cr) shows operational improvement despite YoY decline.
- Strong domestic institutional support with DII inflows.
🏭 Industry
- Specialty chemicals sector supported by global demand and industrial applications.
- Industry PE at 29.1 vs stock PE at 38.2 — stock trades at premium valuation.
🔎 Conclusion
- COHANCE is in a strong bearish trend but oversold RSI suggests potential rebound.
- Best entry near 360–375 ₹, exit near 390–420 ₹ unless breakout above 420 ₹ occurs.
- Medium-term outlook cautious due to earnings slowdown and premium valuation, though low debt and sequential profit growth provide some support.