⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
GRSE - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | GRSE | Market Cap | 26,109 Cr. | Current Price | 2,281 ₹ | High / Low | 3,538 ₹ |
| Stock P/E | 37.9 | Book Value | 200 ₹ | Dividend Yield | 0.61 % | ROCE | 36.6 % |
| ROE | 27.6 % | Face Value | 10.0 ₹ | DMA 50 | 2,433 ₹ | DMA 200 | 2,421 ₹ |
| Chg in FII Hold | -0.30 % | Chg in DII Hold | -0.35 % | PAT Qtr | 171 Cr. | PAT Prev Qtr | 154 Cr. |
| RSI | 40.8 | MACD | -36.3 | Volume | 5,49,182 | Avg Vol 1Wk | 6,78,382 |
| Low price | 1,366 ₹ | High price | 3,538 ₹ | PEG Ratio | 0.90 | Debt to equity | 0.01 |
| 52w Index | 42.1 % | Qtr Profit Var | 73.9 % | EPS | 60.2 ₹ | Industry PE | 52.8 |
📊 Technical Analysis Report
- Chart Patterns: GRSE has corrected sharply from its 52-week high (₹3,538) and is now consolidating near ₹2,280.
- Moving Averages: Current price (₹2,281) is below both 50 DMA (₹2,433) and 200 DMA (₹2,421), signaling short-term weakness.
- RSI: At 40.8, RSI indicates the stock is nearing oversold territory, suggesting possible rebound if momentum improves.
- MACD: Negative (-36.3), confirming bearish momentum.
- Bollinger Bands: Price is near the lower band, hinting at potential support and a bounce opportunity.
- Volume Trends: Current volume (5.49 lakh) is below 1-week average (6.78 lakh), showing reduced participation.
📈 Momentum & Signals
- Short-term Momentum: Weak, with bearish signals from MACD and moving averages.
- Support Zones: ₹2,200 and ₹2,050.
- Resistance Zones: ₹2,450 (50 DMA) and ₹2,600.
- Trend Status: Consolidating with bearish bias; reversal possible if RSI dips below 35 and rebounds with volume recovery.
✅ Positive
- Strong fundamentals: ROCE 36.6%, ROE 27.6%.
- Low debt-to-equity ratio (0.01) ensures financial stability.
- Quarterly PAT growth from ₹154 Cr. to ₹171 Cr. shows earnings momentum.
- PEG ratio of 0.90 suggests fair valuation relative to growth.
⚠️ Limitation
- High P/E of 37.9 compared to book value (₹200).
- Price trading below both 50 DMA and 200 DMA indicates weakness.
- Bearish technical indicators (MACD negative, RSI near 40).
- Decline in institutional holdings (FII -0.30%, DII -0.35%).
📰 Company Negative News
- Stock has corrected significantly from its 52-week high (₹3,538).
- Lower trading volumes suggest reduced investor interest in near term.
🌟 Company Positive News
- Quarterly profit growth of 73.9% YoY variation.
- EPS of ₹60.2 supports long-term earnings visibility.
- Dividend yield of 0.61% adds shareholder value.
🏭 Industry
- Industry P/E at 52.8 is higher than company’s P/E (37.9), suggesting relative undervaluation.
- Defense sector demand remains strong, supporting long-term growth prospects.
🔎 Conclusion
- GRSE is consolidating with bearish short-term signals.
- Optimal entry zone: ₹2,200–₹2,250 (near support).
- Exit zone: ₹2,450–₹2,600 (resistance levels).
- Medium to long-term outlook remains positive due to strong fundamentals, but short-term traders should wait for RSI confirmation and volume recovery before entry.