DCMSHRIRAM - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | DCMSHRIRAM | Market Cap | 16,792 Cr. | Current Price | 1,075 ₹ | High / Low | 1,502 ₹ |
| Stock P/E | 19.6 | Book Value | 494 ₹ | Dividend Yield | 0.83 % | ROCE | 11.5 % |
| ROE | 11.6 % | Face Value | 2.00 ₹ | DMA 50 | 1,144 ₹ | DMA 200 | 1,160 ₹ |
| Chg in FII Hold | -0.01 % | Chg in DII Hold | 0.24 % | PAT Qtr | 346 Cr. | PAT Prev Qtr | 237 Cr. |
| RSI | 35.5 | MACD | -22.9 | Volume | 22,527 | Avg Vol 1Wk | 36,152 |
| Low price | 945 ₹ | High price | 1,502 ₹ | PEG Ratio | -6.71 | Debt to equity | 0.37 |
| 52w Index | 23.3 % | Qtr Profit Var | 98.1 % | EPS | 53.7 ₹ | Industry PE | 18.4 |
📈 Chart & Trend Analysis: DCMSHRIRAM is trading at ₹1,075, below both its 50 DMA (₹1,144) and 200 DMA (₹1,160), signaling weakness. RSI at 35.5 indicates bearish momentum nearing oversold territory. MACD at -22.9 confirms negative divergence. Bollinger Bands show price leaning toward the lower band, suggesting downside pressure with support near ₹1,050–₹1,060.
🔎 Momentum Signals: Current volume (22K) is below the 1-week average (36K), showing weak participation. Short-term momentum remains bearish, but oversold RSI could trigger a rebound if support holds.
🎯 Entry Zone: ₹1,050–₹1,060 (support cluster)
🚪 Exit Zone: ₹1,120–₹1,140 (resistance near 50 DMA)
🛑 Stop-Loss: ₹1,030 (below recent support)
📊 Trend Status: Reversing to bearish bias; consolidation possible if price stabilizes around ₹1,050.
Positive
- EPS at ₹53.7 supports earnings strength.
- Quarterly PAT growth (₹346 Cr vs ₹237 Cr) shows operational improvement.
- DII holdings increased (+0.24%), reflecting domestic institutional support.
- Dividend yield at 0.83% provides steady returns.
Limitation
- Trading below both 50 DMA and 200 DMA indicates technical weakness.
- RSI (35.5) and MACD (-22.9) confirm bearish momentum.
- ROE (11.6%) and ROCE (11.5%) are modest compared to peers.
- PEG ratio (-6.71) suggests poor growth valuation metrics.
- Low trading volume reduces conviction in breakout potential.
Company Negative News
- Minor decline in FII holdings (-0.01%) signals cautious foreign sentiment.
- Stock trading near lower support levels highlights weak momentum.
Company Positive News
- Quarterly PAT growth (+98.1%) reflects strong earnings recovery.
- DII inflows (+0.24%) show confidence in near-term performance.
Industry
- Industry PE at 18.4 is slightly lower than DCMSHRIRAM’s 19.6, suggesting fair valuation.
- Chemicals and industrial sector has long-term demand potential but faces cyclical earnings pressure.
Conclusion
⚠️ DCMSHRIRAM is showing bearish reversal signals with price below key moving averages and weak momentum indicators. Entry around ₹1,050–₹1,060 offers cautious accumulation, with exit targets at ₹1,120–₹1,140. Strong quarterly earnings support fundamentals, but modest efficiency ratios and weak technicals warrant defensive positioning.
Would you like me to extend this into a sector overlay comparison with peers in chemicals and industrials, or keep it focused as a single DCMSHRIRAM swing trade report?