CONCORDBIO - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 2.5

📉 CONCORDBIO is currently in a reversing phase, with bearish momentum indicators and price action significantly below key moving averages.

📊 Technical Overview

• Trend Status: Reversing — price has dropped sharply from its 52-week high of ₹2,452 to ₹1,468, nearing its recent low of ₹1,314.
• Moving Averages: Price is below both 50 DMA (₹1,588) and 200 DMA (₹1,706), confirming a strong downtrend.
• RSI (33.6): Approaching oversold territory, indicating weak momentum and potential for a technical bounce.
• MACD (-48.1): Strong negative crossover supports continued bearish pressure.
• Bollinger Bands: Price near lower band, suggesting volatility and possible short-term support.
• Volume: Below average (43K vs 67K), indicating fading interest and weak participation.

📌 Entry & Exit Zones

• Support Zone: ₹1,320–₹1,350 — potential entry zone if reversal signals emerge.
• Resistance Zone: ₹1,580–₹1,600 — ideal for exit or partial profit booking.
• Breakout Level: ₹1,706 — crossing 200 DMA could signal trend recovery.

✅ Positive

• Strong ROCE (28.4%) and ROE (21.4%) reflect efficient capital use.
• Zero debt and stable financial structure.
• EPS of ₹34.2 and moderate PEG ratio (1.60) suggest reasonable growth expectations.

⚠️ Limitation

• Price trading far below key moving averages with bearish momentum indicators.
• Low 52-week index (13.5%) indicates underperformance relative to broader market.
• Volume below average, suggesting limited conviction in current price action.

📰 Company Negative News

• Quarterly PAT dropped from ₹142 Cr to ₹42.6 Cr, indicating significant earnings pressure.
• Decline in FII holdings (-1.07%) may reflect foreign investor caution.

🌟 Company Positive News

• Strong fundamentals with zero debt and high return ratios.
• Positive DII holding change (+0.70%) shows domestic institutional confidence.

🏭 Industry

• Operates in pharmaceuticals and biotech, a sector driven by innovation and regulatory approvals.
• Industry P/E (33.1) is lower than the stock’s (43.0), indicating valuation premium.

🧾 Conclusion

• CONCORDBIO is technically weak in the short term with bearish indicators and declining price action.
• Entry near ₹1,320–₹1,350 only if reversal signs strengthen; watch for breakout above ₹1,706.
• Long-term investors may hold for fundamentals and sector potential; short-term traders should remain cautious.