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GRANULES - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.3

Last Updated Time : 28 May 26, 08:10 pm

Technical Rating: 4.3

Stock Code GRANULES Market Cap 19,413 Cr. Current Price 784 ₹ High / Low 800 ₹
Stock P/E 47.4 Book Value 178 ₹ Dividend Yield 0.22 % ROCE 12.8 %
ROE 10.5 % Face Value 1.00 ₹ DMA 50 690 ₹ DMA 200 603 ₹
Chg in FII Hold 1.76 % Chg in DII Hold -0.46 % PAT Qtr 99.0 Cr. PAT Prev Qtr 112 Cr.
RSI 72.1 MACD 25.9 Volume 1,26,62,667 Avg Vol 1Wk 30,11,700
Low price 433 ₹ High price 800 ₹ PEG Ratio -7.39 Debt to equity 0.19
52w Index 95.6 % Qtr Profit Var 36.1 % EPS 16.2 ₹ Industry PE 31.6

📊 GRANULES is trading at 784 ₹, well above its 50 DMA (690 ₹) and 200 DMA (603 ₹), confirming strong bullish momentum. RSI at 72.1 indicates overbought territory, suggesting risk of near-term profit booking. MACD at 25.9 is positive, reinforcing bullish bias. Bollinger Bands show price near the upper band, highlighting strong buying interest but also short-term volatility. Current volume (1,26,62,667) is significantly higher than the 1-week average (30,11,700), confirming strong participation and accumulation.

  • 💰 Optimal Buy Price: 760 – 780 ₹ (support near breakout zone)
  • 📈 Profit-Taking Exit Levels: 795 – 800 ₹ (near 52-week high resistance)
  • 📉 Stop-Loss / Loss Protection: 740 ₹ (below support)
  • ⏱️ Trend Status: Strong uptrend but nearing resistance; consolidation or profit booking likely.

Positive

✅ Price trading well above both 50 DMA and 200 DMA confirms bullish bias.

✅ RSI and MACD support strong momentum.

✅ FII holdings increased (+1.76%), showing foreign investor confidence.

✅ EPS at 16.2 ₹ provides a steady earnings base.

✅ Quarterly profit variation (+36.1%) highlights growth momentum.

Limitation

⚠️ RSI above 70 indicates overbought conditions.

⚠️ PEG ratio of -7.39 suggests weak growth prospects relative to valuation.

⚠️ ROCE (12.8%) and ROE (10.5%) are modest compared to peers.

⚠️ Dividend yield at 0.22% is negligible.

⚠️ PAT declined sequentially (99 Cr. vs 112 Cr.), showing earnings pressure.

Company Negative News

🚫 Sequential earnings decline raises concerns about sustainability.

🚫 DII holdings decreased (-0.46%), showing reduced domestic confidence.

🚫 Valuation concerns with P/E (47.4) above industry average (31.6).

Company Positive News

🌟 Strong quarterly profit variation (+36.1%) year-on-year.

🌟 FII inflows provide support for momentum.

🌟 Technical indicators confirm bullish bias near 52-week highs.

Industry

🏭 Industry P/E at 31.6 is lower than GRANULES’ 47.4, showing overvaluation relative to peers.

🏭 Pharma sector outlook remains positive with steady demand and export opportunities.

Conclusion

📌 GRANULES shows strong short-term bullish momentum supported by technical indicators and foreign inflows. However, weak fundamentals and stretched valuations limit long-term potential. Best strategy is cautious accumulation near 760 – 780 ₹ with profit booking around 795 – 800 ₹, maintaining a strict stop-loss near 740 ₹.

Would you like me to extend this into a peer benchmarking overlay with Divi’s Lab, Biocon, and Sun Pharma for comparative clarity, or keep the focus strictly on this standalone technical view?

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