CREDITACC - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.6

📈 CREDITACC is currently in a trending phase, supported by bullish price structure and momentum indicators, though valuation and volume trends suggest caution.

📊 Technical Overview

• Trend Status: Trending upward — price has climbed from ₹750 to ₹1,407, nearing its 52-week high of ₹1,490.
• Moving Averages: Price is above both 50 DMA (₹1,363) and 200 DMA (₹1,241), confirming bullish sentiment.
• RSI (54.1): Neutral zone, indicating steady momentum with room for further upside.
• MACD (20.2): Positive crossover supports short-term bullish momentum.
• Bollinger Bands: Price near upper band, suggesting strength but also potential resistance.
• Volume: Below average (5.49L vs 12.40L), indicating cautious participation despite price strength.

📌 Entry & Exit Zones

• Support Zone: ₹1,360–₹1,380 — ideal for entry on pullbacks.
• Resistance Zone: ₹1,470–₹1,490 — potential exit or partial profit booking zone.
• Breakout Level: ₹1,490 — crossing this could lead to new highs.

✅ Positive

• Quarterly PAT doubled from ₹60.2 Cr to ₹126 Cr, showing strong earnings momentum.
• Price action above key moving averages with bullish MACD and RSI.
• Positive FII (+0.16%) and DII (+0.57%) holding changes reflect institutional confidence.

⚠️ Limitation

• Extremely high P/E (168) and PEG ratio (11.5) suggest severe overvaluation.
• ROCE (9.55%) and ROE (7.86%) are modest compared to industry benchmarks.
• Volume significantly below average, showing lack of strong conviction.

📰 Company Negative News

• Quarterly profit variation of -32.4% indicates earnings volatility.

🌟 Company Positive News

• Strong recovery in PAT and consistent upward price movement.
• Institutional interest from both foreign and domestic investors.

🏭 Industry

• Operates in financial services and lending, a sector sensitive to interest rates and credit cycles.
• Industry P/E (90.3) is lower than the stock’s, indicating valuation premium.

🧾 Conclusion

• CREDITACC is technically strong with bullish indicators and improving fundamentals.
• Entry near ₹1,360–₹1,380 is favorable; watch for breakout above ₹1,490.
• Long-term investors should evaluate valuation risks; short-term traders should monitor volume and resistance levels.