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DEVYANI - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.3

Last Updated Time : 19 Mar 26, 08:56 pm

Technical Rating: 3.3

Stock Code DEVYANI Market Cap 13,469 Cr. Current Price 109 ₹ High / Low 191 ₹
Book Value 12.4 ₹ Dividend Yield 0.00 % ROCE 7.53 % ROE 2.20 %
Face Value 1.00 ₹ DMA 50 125 ₹ DMA 200 146 ₹ Chg in FII Hold -0.78 %
Chg in DII Hold -0.32 % PAT Qtr 8.56 Cr. PAT Prev Qtr -14.3 Cr. RSI 34.2
MACD -5.36 Volume 25,74,613 Avg Vol 1Wk 53,76,831 Low price 103 ₹
High price 191 ₹ Debt to equity 1.59 52w Index 7.51 % Qtr Profit Var 98.6 %
EPS -0.28 ₹ Industry PE 65.3

📊 Chart & Trend Analysis: DEVYANI is trading at ₹109, below both its 50 DMA (₹125) and 200 DMA (₹146), indicating bearish momentum. RSI at 34.2 shows the stock is nearing oversold territory. MACD at -5.36 confirms negative momentum. Bollinger Bands suggest price is near the lower band, with support around ₹103.

📈 Momentum Signals: Current volume (25.7 lakh) is significantly lower than the 1-week average (53.7 lakh), showing reduced participation. Weak RSI and negative MACD reinforce bearish bias, suggesting selling pressure dominates.

💡 Entry Zone: Optimal entry around ₹105–110 (near support).

🚪 Exit Zone: Resistance seen at ₹125 (50 DMA) and ₹146 (200 DMA). Profit booking advised near these levels.

🔎 Trend Status: The stock is currently consolidating with bearish bias. A breakout above ₹125 would indicate recovery momentum.


Positive

  • Quarterly PAT turned positive (₹8.56 Cr vs -₹14.3 Cr), showing operational improvement.
  • Large market cap (₹13,469 Cr) adds credibility.
  • 52-week index gain of 7.51% highlights some long-term resilience.

Limitation

  • Negative EPS (-₹0.28) reflects weak profitability.
  • High debt-to-equity ratio (1.59) indicates leverage risk.
  • Weak ROCE (7.53%) and ROE (2.20%) compared to peers.
  • Trading below both 50 DMA and 200 DMA highlights weak technical strength.

Company Negative News

  • Decline in FII holding (-0.78%) and DII holding (-0.32%) shows reduced institutional confidence.
  • High leverage raises financial risk in volatile markets.

Company Positive News

  • Quarterly profit variation (+98.6% YoY) highlights operational turnaround.

Industry

  • Industry P/E at 65.3 is high, reflecting premium valuations across QSR/restaurant peers.
  • Quick-service restaurant sector remains resilient, supported by rising consumer demand and expansion strategies.

Conclusion

⚖️ DEVYANI shows signs of operational recovery but faces weak fundamentals and high leverage. Short-term consolidation with bearish bias is evident. Entry near ₹105–110 offers margin of safety, while exits should be considered near ₹125–146. Long-term investors should be cautious given profitability concerns, while traders may wait for confirmation above 50 DMA before aggressive buying.

Would you like me to extend this into a peer benchmarking overlay (e.g., comparing DEVYANI with Jubilant FoodWorks, Sapphire Foods, and Westlife Foodworld) to highlight relative strength and sector rotation opportunities?

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