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FINCABLES - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.1

Last Updated Time : 28 May 26, 07:54 pm

Technical Rating: 4.1

Stock Code FINCABLES Market Cap 18,017 Cr. Current Price 1,178 ₹ High / Low 1,185 ₹
Stock P/E 29.4 Book Value 314 ₹ Dividend Yield 0.68 % ROCE 16.2 %
ROE 12.4 % Face Value 2.00 ₹ DMA 50 979 ₹ DMA 200 892 ₹
Chg in FII Hold 0.20 % Chg in DII Hold 0.67 % PAT Qtr 136 Cr. PAT Prev Qtr 187 Cr.
RSI 71.5 MACD 38.8 Volume 20,73,437 Avg Vol 1Wk 8,95,076
Low price 701 ₹ High price 1,185 ₹ PEG Ratio 2.81 Debt to equity 0.00
52w Index 98.6 % Qtr Profit Var 9.71 % EPS 40.1 ₹ Industry PE 28.1

Chart & Trend Analysis:

FINCABLES is trading at ₹1,178, well above its 50 DMA (₹979) and 200 DMA (₹892), confirming strong bullish momentum. RSI at 71.5 indicates overbought conditions, while MACD at 38.8 shows strong positive crossover. Bollinger Bands are widening, reflecting volatility expansion. Current volume (20.7L) is significantly higher than the weekly average (8.95L), showing strong institutional participation.

Momentum Signals:

- RSI above 70 signals overbought territory, caution for short-term traders.

- MACD strongly positive, confirming bullish strength.

- Resistance zones: ₹1,180–1,185 (near-term high).

- Support zones: ₹1,150 immediate, deeper support at ₹1,000 (psychological + DMA cluster).

- Trend status: Strong uptrend, but short-term consolidation likely due to overbought RSI.

Entry Zone: ₹1,150–1,160 (ideal accumulation zone)

Exit Zone: ₹1,180–1,200 (profit booking zone)

Stop-Loss: Below ₹1,000


Positive

  • Price trading above both 50 DMA and 200 DMA confirms bullish technicals.
  • Strong volume surge indicates institutional accumulation.
  • Debt-free balance sheet (Debt-to-equity 0.00) ensures financial stability.
  • EPS at ₹40.1 supports earnings visibility.

Limitation

  • RSI at 71.5 signals overbought conditions, risk of short-term correction.
  • Quarterly PAT declined (₹136 Cr vs ₹187 Cr), showing earnings pressure.
  • PEG ratio at 2.81 suggests valuation concerns relative to growth.

Company Negative News

  • Sequential decline in quarterly profits highlights margin pressure.

Company Positive News

  • FII holdings increased (+0.20%) and DII holdings increased (+0.67%), showing institutional support.
  • Strong 52-week performance (+98.6%) highlights sector leadership.

Industry

  • Industry PE at 28.1 is close to FINCABLES’ P/E (29.4), suggesting fair valuation.
  • Cables and electrical equipment sector supported by infrastructure and industrial demand.

Conclusion

FINCABLES is in a strong uptrend, trading above key moving averages with bullish RSI and MACD signals. Entry near ₹1,150–1,160 offers a favorable setup, with exits around ₹1,180–1,200. Fundamentals remain stable, but overbought RSI and declining quarterly profits suggest caution for short-term traders. Long-term investors can hold with confidence given debt-free status and strong sector demand.

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