GLENMARK - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.0
| Stock Code | GLENMARK | Market Cap | 67,052 Cr. | Current Price | 2,376 ₹ | High / Low | 2,474 ₹ |
| Stock P/E | 45.2 | Book Value | 848 ₹ | Dividend Yield | 0.10 % | ROCE | 9.72 % |
| ROE | 7.35 % | Face Value | 1.00 ₹ | DMA 50 | 2,268 ₹ | DMA 200 | 2,048 ₹ |
| Chg in FII Hold | 1.15 % | Chg in DII Hold | -0.81 % | PAT Qtr | 426 Cr. | PAT Prev Qtr | 193 Cr. |
| RSI | 56.3 | MACD | 24.6 | Volume | 5,52,637 | Avg Vol 1Wk | 7,94,258 |
| Low price | 1,376 ₹ | High price | 2,474 ₹ | PEG Ratio | 22.6 | Debt to equity | 0.02 |
| 52w Index | 91.1 % | Qtr Profit Var | 3.00 % | EPS | 0.74 ₹ | Industry PE | 31.6 |
📊 GLENMARK is trading at 2,376 ₹, above both its 50 DMA (2,268 ₹) and 200 DMA (2,048 ₹), confirming short-term bullish momentum. RSI at 56.3 indicates moderate strength without being overbought. MACD at 24.6 is positive, supporting bullish bias. Bollinger Bands show price near the upper band, suggesting strong momentum but also risk of profit booking. Current volume (5,52,637) is below the 1-week average (7,94,258), showing reduced participation despite price strength.
- 💰 Optimal Buy Price: 2,340 – 2,360 ₹ (near support zone)
- 📈 Profit-Taking Exit Levels: 2,420 ₹ (first resistance), 2,470 ₹ (52-week high)
- 📉 Stop-Loss / Loss Protection: 2,300 ₹ (below support)
- ⏱️ Trend Status: Trending upward but approaching resistance; consolidation or profit booking likely near 2,470 ₹.
Positive
✅ Strong quarterly PAT growth (426 Cr. vs 193 Cr.).
✅ FII holdings increased (+1.15%), showing foreign investor confidence.
✅ Trading above both 50 DMA and 200 DMA confirms bullish trend.
✅ Debt-to-equity at 0.02 indicates minimal leverage.
Limitation
⚠️ Weak fundamentals: ROCE (9.72%) and ROE (7.35%) are low compared to peers.
⚠️ EPS at 0.74 ₹ is very weak relative to price.
⚠️ PEG ratio of 22.6 indicates significant overvaluation.
⚠️ DII holdings declined (-0.81%), showing reduced domestic confidence.
⚠️ Volume below average reduces conviction in the rally.
Company Negative News
🚫 Valuation concerns due to high P/E (45.2 vs industry 31.6).
🚫 Weak profitability metrics limit long-term attractiveness.
🚫 Reduced domestic institutional support adds caution.
Company Positive News
🌟 Strong quarterly PAT growth signals operational improvement.
🌟 FII inflows provide short-term support.
🌟 Price momentum supported by technical indicators.
Industry
🏭 Industry P/E at 31.6 is lower than GLENMARK’s, showing overvaluation relative to peers.
🏭 Pharma sector outlook remains positive with steady demand and export opportunities.
Conclusion
📌 GLENMARK shows strong short-term momentum supported by technical indicators and FII inflows. However, weak fundamentals and stretched valuations limit long-term potential. Best strategy is cautious accumulation near 2,340 – 2,360 ₹ with profit booking around 2,420 – 2,470 ₹, maintaining a strict stop-loss near 2,300 ₹.
Would you like me to extend this into a peer benchmarking overlay with Sun Pharma, Cipla, and Dr. Reddy’s for comparative clarity, or keep the focus strictly on this standalone technical view?