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FINPIPE - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.4

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

Technical Rating: 3.4

Stock Code FINPIPE Market Cap 10,920 Cr. Current Price 176 ₹ High / Low 238 ₹
Stock P/E 22.9 Book Value 93.3 ₹ Dividend Yield 1.11 % ROCE 8.77 %
ROE 6.76 % Face Value 2.00 ₹ DMA 50 176 ₹ DMA 200 194 ₹
Chg in FII Hold -0.06 % Chg in DII Hold 0.08 % PAT Qtr 110 Cr. PAT Prev Qtr 119 Cr.
RSI 51.2 MACD -0.05 Volume 4,48,477 Avg Vol 1Wk 3,26,051
Low price 144 ₹ High price 238 ₹ PEG Ratio -1.15 Debt to equity 0.00
52w Index 34.0 % Qtr Profit Var 55.0 % EPS 7.68 ₹ Industry PE 21.8

📈 Technical Analysis

  • Chart Patterns: Stock corrected from 238 ₹ highs and is consolidating near 176 ₹, showing stability around support levels.
  • Moving Averages: Current price (176 ₹) is equal to 50 DMA (176 ₹) but below 200 DMA (194 ₹), indicating short-term stability but long-term weakness.
  • RSI: At 51.2, the stock is neutral, neither oversold nor overbought.
  • MACD: Slightly negative (-0.05), suggesting weak momentum and sideways movement.
  • Bollinger Bands: Price is near the mid-band, indicating consolidation without strong breakout signals.
  • Volume Trends: Current volume (4,48,477) is higher than 1-week average (3,26,051), showing increased participation.

📊 Momentum & Signals

  • Short-Term Momentum: Neutral, with potential for sideways consolidation.
  • Support Zones: 170 ₹ (near-term), 160 ₹ (major support).
  • Resistance Zones: 185 ₹ (trendline resistance), 194 ₹ (200 DMA), 200 ₹ (psychological resistance).
  • Entry Zone: 170–176 ₹ if RSI remains stable.
  • Exit Zone: 185–194 ₹ on rebound; strict stop-loss below 170 ₹.
  • Trend Status: Stock is consolidating after correction, awaiting breakout direction.

✅ Positive

  • Quarterly PAT at 110 Cr. remains strong despite slight decline from previous quarter.
  • EPS at 7.68 ₹ supports earnings visibility.
  • Dividend yield at 1.11 % provides income support.
  • Debt-to-equity ratio at 0.00 indicates excellent financial stability.
  • Quarterly profit variance (+55.0 %) highlights strong year-on-year growth.

⚠️ Limitation

  • Stock trading below 200 DMA indicates weak long-term technical strength.
  • ROCE (8.77 %) and ROE (6.76 %) are relatively low, showing limited capital efficiency.
  • PEG ratio (-1.15) suggests valuation concerns relative to growth.
  • Current price far below 52-week high (238 ₹), showing significant correction.

📉 Company Negative News

  • FII holdings decreased (-0.06 %), showing reduced foreign investor confidence.
  • Quarterly PAT declined slightly (110 Cr. vs 119 Cr.), showing short-term earnings pressure.

📈 Company Positive News

  • DII holdings increased (+0.08 %), showing domestic institutional support.
  • Quarterly profit variance (+55.0 %) highlights strong operational improvement year-on-year.
  • Stable balance sheet with zero debt enhances financial resilience.

🏭 Industry

  • Industry PE at 21.8 is slightly lower than company PE (22.9), suggesting FINPIPE trades at a mild premium.
  • Pipes and infrastructure sector outlook remains positive with demand growth from construction and industrial projects.

🔎 Conclusion

  • FINPIPE is in a consolidation phase after correction, with neutral RSI and weak MACD.
  • Short-term traders may consider entry near 170–176 ₹ with exit around 185–194 ₹.
  • Long-term investors may hold due to strong fundamentals, zero debt, and sector growth potential, but should be cautious of weak ROCE/ROE and valuation concerns.

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