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GODREJAGRO - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.8

Last Updated Time : 04 May 26, 11:57 am

Technical Rating: 3.8

Stock Code GODREJAGRO Market Cap 11,469 Cr. Current Price 596 ₹ High / Low 876 ₹
Stock P/E 20.2 Book Value 151 ₹ Dividend Yield 1.84 % ROCE 23.4 %
ROE 20.8 % Face Value 10.0 ₹ DMA 50 591 ₹ DMA 200 629 ₹
Chg in FII Hold 0.03 % Chg in DII Hold 0.48 % PAT Qtr 88.2 Cr. PAT Prev Qtr 131 Cr.
RSI 51.2 MACD 3.78 Volume 1,20,183 Avg Vol 1Wk 1,30,686
Low price 506 ₹ High price 876 ₹ PEG Ratio 0.62 Debt to equity 0.30
52w Index 24.4 % Qtr Profit Var 29.6 % EPS 27.4 ₹ Industry PE 23.2

📈 Chart & Trend: GODREJAGRO is trading slightly above its 50 DMA (591 ₹) but below the 200 DMA (629 ₹), indicating short-term strength but medium-term weakness. RSI at 51.2 shows neutral momentum, while MACD at 3.78 remains mildly positive. Bollinger Bands suggest price is mid-range, pointing to consolidation rather than breakout.

🔎 Momentum Signals: Current volume (1.20 lakh) is below the 1-week average (1.30 lakh), reflecting reduced participation. Momentum remains neutral with limited upside unless volume improves.

🎯 Entry Zone: 585–595 ₹ (support near 50 DMA)

🚪 Exit Zone: 625–635 ₹ (resistance near 200 DMA)

📊 Trend Status: Consolidating with mild upward bias.

Positive

  • Strong ROCE (23.4%) and ROE (20.8%) highlight efficient capital use.
  • PEG ratio at 0.62 suggests fair valuation relative to growth.
  • Dividend yield at 1.84% provides steady income support.
  • DII holdings increased (+0.48%), showing domestic institutional confidence.

Limitation

  • Quarterly PAT declined to 88.2 Cr. from 131 Cr., showing earnings pressure.
  • Trading below 200 DMA reflects medium-term weakness.
  • Volume participation is weaker compared to average, limiting breakout potential.
  • Debt-to-equity at 0.30 indicates moderate leverage risk.

Company Negative News

  • Sequential decline in quarterly profits.
  • FII holdings only marginally increased (+0.03%), showing limited foreign confidence.

Company Positive News

  • Strong fundamentals with consistent ROCE/ROE.
  • Dividend yield and EPS (27.4 ₹) provide investor support.

Industry

  • Industry P/E at 23.2 is slightly higher than GODREJAGRO’s, showing fair valuation.
  • Agribusiness sector supported by rising demand for food and allied products.

Conclusion

GODREJAGRO is consolidating near support levels with mild upward bias. Entry near 585–595 ₹ offers a cautious setup, while profit booking is advised near 625–635 ₹. Short-term outlook remains neutral, with long-term prospects supported by strong fundamentals but dependent on earnings recovery.

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