CUB - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.7

📈 CUB is currently in a trending phase, supported by bullish momentum indicators and price action above key moving averages.

📊 Technical Overview

• Trend Status: Trending upward — price has risen from ₹143 to ₹235, nearing its 52-week high of ₹241.
• Moving Averages: Price is above both 50 DMA (₹217) and 200 DMA (₹197), confirming bullish sentiment.
• RSI (56.6): Mid-range, indicating healthy momentum with room for further upside.
• MACD (6.18): Positive crossover supports continued bullish momentum.
• Bollinger Bands: Price near upper band, suggesting strength and potential breakout.
• Volume: Slightly below average (21.11L vs 27.90L), indicating cautious optimism among traders.

📌 Entry & Exit Zones

• Support Zone: ₹215–₹225 — ideal for entry on pullbacks.
• Resistance Zone: ₹240–₹245 — potential exit or partial profit booking zone.
• Breakout Level: ₹241 — crossing this could lead to new highs.

✅ Positive

• Quarterly PAT increased from ₹288 Cr to ₹306 Cr, showing consistent growth.
• EPS of ₹15.7 and P/E of 15.0 suggest fair valuation.
• Price action above key moving averages with bullish MACD and RSI.
• Positive DII holding change (+1.52%) reflects domestic institutional confidence.

⚠️ Limitation

• ROCE (6.86%) is modest compared to industry leaders.
• Debt-to-equity ratio (6.94) indicates high leverage.
• Volume below average, suggesting limited participation in the current rally.

📰 Company Negative News

• Decline in FII holdings (-1.42%) may reflect foreign investor caution.

🌟 Company Positive News

• Strong quarterly profit growth (15.7%) and consistent earnings performance.
• Domestic institutions increasing stake, signaling long-term confidence.

🏭 Industry

• Operates in banking and financial services, a sector influenced by interest rates and credit cycles.
• Industry P/E (14.5) is slightly below the stock’s, suggesting mild premium valuation.

🧾 Conclusion

• CUB is technically strong with bullish indicators and improving fundamentals.
• Entry near ₹215–₹225 is favorable; watch for breakout above ₹241.
• Long-term investors may benefit from growth and valuation; short-term traders should monitor volume and resistance levels.