EICHERMOT - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.1
| Stock Code | EICHERMOT | Market Cap | 1,95,010 Cr. | Current Price | 7,109 ₹ | High / Low | 8,233 ₹ |
| Stock P/E | 39.2 | Book Value | 701 ₹ | Dividend Yield | 0.98 % | ROCE | 31.7 % |
| ROE | 25.1 % | Face Value | 1.00 ₹ | DMA 50 | 7,166 ₹ | DMA 200 | 6,821 ₹ |
| Chg in FII Hold | -0.24 % | Chg in DII Hold | 0.09 % | PAT Qtr | 1,333 Cr. | PAT Prev Qtr | 1,208 Cr. |
| RSI | 49.6 | MACD | 7.55 | Volume | 5,66,675 | Avg Vol 1Wk | 5,06,450 |
| Low price | 5,201 ₹ | High price | 8,233 ₹ | PEG Ratio | 1.00 | Debt to equity | 0.01 |
| 52w Index | 62.9 % | Qtr Profit Var | 26.2 % | EPS | 180 ₹ | Industry PE | 31.2 |
📈 Chart Patterns: Price is consolidating near the 50 DMA (7,166 ₹) and above the 200 DMA (6,821 ₹), showing long-term strength but short-term indecision.
📊 Moving Averages: Current price (7,109 ₹) is slightly below the 50 DMA but comfortably above the 200 DMA, suggesting medium-term consolidation with long-term bullish bias.
📉 RSI: Neutral at 49.6, indicating indecision and absence of strong momentum.
📊 MACD: Positive at 7.55, signaling mild bullish crossover and potential short-term upside.
📉 Bollinger Bands: Price near mid-band, showing consolidation with limited volatility expansion.
📊 Volume Trends: Current volume (5.66L) is slightly above 1-week average (5.06L), suggesting steady participation and mild accumulation.
🎯 Momentum Signals: Neutral to mildly bullish. MACD supports short-term upside, while RSI remains flat.
💹 Entry Zone: 7,050–7,100 ₹ (support levels).
💹 Exit Zone: 7,750–7,850 ₹ (resistance levels).
📌 Trend Status: Consolidating with bullish bias.
Positive
- Strong ROCE (31.7%) and ROE (25.1%) highlight excellent profitability.
- EPS of 180 ₹ supports earnings strength.
- Debt-to-equity ratio at 0.01 shows near debt-free status.
- Quarterly PAT growth (1,333 Cr. vs 1,208 Cr.) indicates earnings momentum.
Limitation
- Price slightly below 50 DMA, showing short-term weakness.
- RSI neutral, lacking strong momentum signals.
- FII holdings reduced (-0.24%), showing foreign investor caution.
Company Negative News
- Minor reduction in FII holdings (-0.24%).
- Short-term technical weakness below 50 DMA.
Company Positive News
- Quarterly PAT improved to 1,333 Cr. from 1,208 Cr.
- DII holdings increased (+0.09%), showing domestic support.
- Dividend yield at 0.98% provides shareholder returns.
Industry
- Automobile sector remains strong, with industry PE at 31.2 compared to company PE of 39.2, reflecting premium valuation.
- Demand for premium motorcycles continues to support growth outlook.
Conclusion
⚖️ EICHERMOT is consolidating with bullish bias, supported by strong fundamentals (high ROCE, ROE, EPS, low debt). Technicals show mild weakness near 50 DMA but MACD and volume trends support short-term upside. Suitable for swing trades within entry (7,050–7,100 ₹) and exit (7,750–7,850 ₹) zones, while long-term investors can hold for continued earnings growth and sector strength.