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GVT&D - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.2

Last Updated Time : 04 May 26, 11:56 am

Technical Rating: 4.2

Stock Code GVT&D Market Cap 1,14,357 Cr. Current Price 4,466 ₹ High / Low 4,694 ₹
Stock P/E 102 Book Value 81.5 ₹ Dividend Yield 0.11 % ROCE 54.7 %
ROE 40.4 % Face Value 2.00 ₹ DMA 50 3,905 ₹ DMA 200 3,187 ₹
Chg in FII Hold 1.93 % Chg in DII Hold -1.88 % PAT Qtr 340 Cr. PAT Prev Qtr 299 Cr.
RSI 67.2 MACD 211 Volume 6,85,013 Avg Vol 1Wk 6,07,806
Low price 1,473 ₹ High price 4,694 ₹ PEG Ratio 1.26 Debt to equity 0.01
52w Index 92.9 % Qtr Profit Var 139 % EPS 41.7 ₹ Industry PE 37.9

📈 Chart Patterns: Price is trading well above both 50 DMA (3,905 ₹) and 200 DMA (3,187 ₹), confirming strong bullish momentum. Trendlines suggest resistance near 4,650–4,700 ₹ and support around 4,400–4,420 ₹.

📊 Moving Averages: Current price (4,466 ₹) comfortably above both DMAs, reinforcing bullish bias.

📉 RSI: At 67.2, RSI is approaching overbought territory, suggesting caution for fresh entries.

📊 MACD: Strongly positive at 211, confirming bullish crossover and momentum continuation.

📉 Bollinger Bands: Price near upper band, reflecting strong momentum but also risk of short-term profit booking.

📊 Volume Trends: Current volume (6.85L) above 1-week average (6.07L), showing strong participation and accumulation.

🎯 Momentum Signals: Bullish. MACD, RSI, and moving averages confirm strength, supported by higher-than-average volume.

💹 Entry Zone: 4,400–4,420 ₹ (support levels).

💹 Exit Zone: 4,650–4,700 ₹ (resistance levels).

📌 Trend Status: Trending upward with strong bullish bias.


Positive

  • Strong ROCE (54.7%) and ROE (40.4%) highlight excellent profitability.
  • EPS of 41.7 ₹ supports earnings visibility.
  • Debt-to-equity ratio at 0.01 shows near debt-free status.
  • Quarterly PAT growth (340 Cr. vs 299 Cr.) highlights operational strength.
  • FII holdings increased (+1.93%), showing foreign investor confidence.

Limitation

  • RSI near 70 indicates overbought conditions.
  • Stock P/E (102) far above industry PE (37.9), suggesting stretched valuation.
  • DII holdings reduced (-1.88%), showing weaker domestic support.
  • Dividend yield at 0.11% is modest.

Company Negative News

  • Decline in DII holdings (-1.88%).
  • High valuation premium raises caution for long-term investors.

Company Positive News

  • Quarterly PAT growth (+139%) highlights strong earnings momentum.
  • FII support indicates foreign investor optimism.
  • Strong fundamentals with high ROE and ROCE.

Industry

  • Industry PE at 37.9 is far lower than GVT&D’s P/E (102), suggesting overvaluation.
  • Power and transmission sector supported by infrastructure expansion and government initiatives.

Conclusion

⚖️ GVT&D is trending upward with strong bullish bias, supported by MACD, RSI, and volume strength. Entry near 4,400–4,420 ₹ offers a favorable setup, with exits around 4,650–4,700 ₹. While fundamentals remain strong, stretched valuations and overbought RSI warrant caution. Best suited for swing trades with disciplined stop-loss management.

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