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EIHOTEL - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.2
| Stock Code | EIHOTEL | Market Cap | 20,387 Cr. | Current Price | 326 ₹ | High / Low | 435 ₹ |
| Stock P/E | 29.1 | Book Value | 68.6 ₹ | Dividend Yield | 0.46 % | ROCE | 21.9 % |
| ROE | 17.5 % | Face Value | 2.00 ₹ | DMA 50 | 352 ₹ | DMA 200 | 371 ₹ |
| Chg in FII Hold | 0.23 % | Chg in DII Hold | -0.04 % | PAT Qtr | 97.6 Cr. | PAT Prev Qtr | 134 Cr. |
| RSI | 30.4 | MACD | -13.7 | Volume | 1,20,619 | Avg Vol 1Wk | 5,49,565 |
| Low price | 293 ₹ | High price | 435 ₹ | PEG Ratio | 0.28 | Debt to equity | 0.04 |
| 52w Index | 23.0 % | Qtr Profit Var | -15.8 % | EPS | 11.0 ₹ | Industry PE | 32.5 |
📈 Technical Analysis
- Chart Patterns: Stock has corrected from 435 ₹ highs and is now testing support zones, showing weakness but nearing oversold levels.
- Moving Averages: Current price (326 ₹) is below 50 DMA (352 ₹) and 200 DMA (371 ₹), confirming bearish sentiment.
- RSI: At 30.4, the stock is oversold, suggesting potential for a short-term rebound.
- MACD: Negative (-13.7), reinforcing bearish momentum.
- Bollinger Bands: Price is near the lower band, signaling oversold conditions but risk of breakdown.
- Volume Trends: Current volume (1,20,619) is much lower than 1-week average (5,49,565), showing weak participation in recent moves.
📊 Momentum & Signals
- Short-Term Momentum: Weak, but oversold RSI could trigger a technical bounce.
- Support Zones: 310 ₹ (near-term), 293 ₹ (major support).
- Resistance Zones: 352 ₹ (50 DMA), 371 ₹ (200 DMA), 390 ₹ (trendline resistance).
- Entry Zone: 310–320 ₹ if RSI stabilizes.
- Exit Zone: 352–371 ₹ on rebound; strict stop-loss below 310 ₹.
- Trend Status: Stock is bearish but showing signs of consolidation near support.
✅ Positive
- Strong fundamentals with ROCE (21.9 %) and ROE (17.5 %) indicating efficient capital use.
- Low debt-to-equity ratio (0.04) shows financial stability.
- PEG ratio at 0.28 suggests growth potential at reasonable valuation.
⚠️ Limitation
- Price below both 50 DMA and 200 DMA indicates weak technical strength.
- Quarterly profit declined (PAT 97.6 Cr. vs 134 Cr.), showing earnings pressure.
- Dividend yield at 0.46 % is modest, offering limited income support.
📉 Company Negative News
- Quarterly profit variance (-15.8 %) highlights declining earnings momentum.
- Drop in DII holdings (-0.04 %) shows reduced domestic institutional confidence.
📈 Company Positive News
- FII holdings increased (+0.23 %), showing foreign investor interest.
- EPS at 11.0 ₹ remains positive, supporting valuation stability.
🏭 Industry
- Industry PE at 32.5 is slightly higher than company PE (29.1), suggesting EIHOTEL is fairly valued compared to peers.
- Hospitality sector outlook remains stable, with cyclical demand recovery potential.
🔎 Conclusion
- EIHOTEL is in a bearish trend but nearing oversold levels.
- Short-term traders may consider entry near 310–320 ₹ with exit around 352–371 ₹.
- Long-term investors may find value due to strong fundamentals, but should wait for confirmation of earnings recovery.