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DEEPAKFERT - Technical Analysis with Chart Patterns & Indicators

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Rating: 2.6

Last Updated Time : 03 Feb 26, 05:12 pm

Technical Rating: 2.6

Stock Code DEEPAKFERT Market Cap 12,244 Cr. Current Price 970 ₹ High / Low 1,779 ₹
Stock P/E 38.0 Book Value 274 ₹ Dividend Yield 1.00 % ROCE 14.9 %
ROE 12.3 % Face Value 10.0 ₹ DMA 50 1,239 ₹ DMA 200 1,323 ₹
Chg in FII Hold -0.63 % Chg in DII Hold 0.56 % PAT Qtr 10.8 Cr. PAT Prev Qtr 50.0 Cr.
RSI 21.8 MACD -49.8 Volume 4,80,433 Avg Vol 1Wk 7,48,800
Low price 888 ₹ High price 1,779 ₹ PEG Ratio 1.34 Debt to equity 0.13
52w Index 9.18 % Qtr Profit Var -83.9 % EPS 25.5 ₹ Industry PE 17.5

📊 Technical Analysis

  • Chart Patterns: Stock has fallen sharply from its 52-week high (1,779 ₹) to current levels (970 ₹), showing a clear downtrend.
  • Moving Averages: Current price is well below 50 DMA (1,239 ₹) and 200 DMA (1,323 ₹), confirming bearish momentum.
  • RSI: 21.8 — extremely oversold, potential for short-term rebound.
  • MACD: -49.8 — strong bearish crossover, momentum weak.
  • Bollinger Bands: Price near lower band, oversold conditions visible.
  • Volume Trends: Current volume (4.8L) below 1-week average (7.48L), showing reduced participation.

📈 Momentum & Signals

  • Short-term Momentum: Weak, but oversold RSI suggests possible relief rally.
  • Support Levels: Strong support near 888 ₹.
  • Resistance Levels: Immediate resistance at 1,239 ₹ (50 DMA), next at 1,323 ₹ (200 DMA).
  • Optimal Entry Zone: 900–950 ₹ (near support, oversold RSI).
  • Optimal Exit Zone: 1,200–1,250 ₹ (near 50 DMA resistance).
  • Trend Status: Stock is trending down with oversold signals hinting at possible short-term reversal.

✅ Positive

  • PEG ratio of 1.34 indicates fair valuation relative to growth.
  • Low debt-to-equity (0.13) ensures financial stability.
  • Book value of 274 ₹ provides strong asset backing.

⚠️ Limitation

  • Stock P/E (38.0) is much higher than industry P/E (17.5), suggesting overvaluation.
  • ROCE (14.9%) and ROE (12.3%) are modest compared to peers.
  • Price trading far below key moving averages indicates weak momentum.

📉 Company Negative News

  • Quarterly profit dropped sharply (10.8 Cr vs 50.0 Cr), a decline of -83.9%.
  • FII holding decreased by -0.63%, showing reduced foreign investor confidence.
  • Stock has corrected heavily from 1,779 ₹ high to current 970 ₹.

📈 Company Positive News

  • DII holding increased by 0.56%, showing domestic institutional support.
  • EPS of 25.5 ₹ provides earnings visibility despite recent profit decline.

🏭 Industry

  • Industry P/E at 17.5 is significantly lower than DEEPAKFERT, highlighting relative overvaluation.
  • Fertilizer sector remains cyclical, dependent on demand and government policies.

📝 Conclusion

  • DEEPAKFERT is in a strong downtrend with oversold RSI suggesting possible short-term rebound.
  • Best strategy: Accumulate cautiously near support (900–950 ₹) and book profits near resistance (1,200–1,250 ₹).
  • Long-term investors should be cautious given sharp profit decline and high valuation relative to industry.

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