GVT&D - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:54 pm

Technical Rating: 4.1

📊 Chart Patterns & Trend: GVT&D is trading near its 50 DMA (2,934 ₹) and well above the 200 DMA (2,528 ₹). Support lies around 2,900–2,920 ₹, while resistance is seen near 2,950–3,000 ₹. The stock is consolidating with mild bearish bias but remains in a strong long-term uptrend.

📈 Moving Averages: Current price (2,927 ₹) is slightly below the 50 DMA but comfortably above the 200 DMA, showing short-term consolidation and long-term strength.

📉 RSI: At 44.6, RSI suggests neutral-to-weak momentum, leaning toward oversold territory.

📉 MACD: Negative (-4.58) reflects mild bearish momentum, signaling caution until a crossover occurs.

📊 Bollinger Bands: Price is near the mid-band, indicating consolidation with limited volatility.

📊 Volume Trends: Current volume (8.88 lakh) is significantly above the 1-week average (4.38 lakh), showing strong participation and accumulation interest.

🎯 Entry Zone: 2,900–2,920 ₹ (near support and consolidation base)

🎯 Exit Zone: 2,950–3,000 ₹ (near resistance and upper band)

Positive

• Strong ROCE (54.7%) and ROE (40.4%) highlight exceptional capital efficiency.
• Debt-to-equity ratio at 0.01 ensures financial stability.
• Quarterly PAT growth from 291 Cr. to 299 Cr. shows earnings consistency.
• FII holdings increased by 1.66%, reflecting foreign investor confidence.
• EPS at 35.9 ₹ indicates strong profitability.

Limitation

• High P/E (81.5) compared to industry average (43.9) suggests overvaluation.
• Dividend yield at 0.17% provides minimal income appeal.
• RSI and MACD show weak momentum, limiting short-term bullish signals.

Company Negative News

• DII holdings decreased by 1.55%, showing reduced domestic institutional confidence.
• Stock trading slightly below 50 DMA indicates short-term weakness.

Company Positive News

• Quarterly profit variation at 107% highlights strong earnings momentum.
• FII inflows (+1.66%) reflect strong foreign investor sentiment.
• 52-week performance index at 80.8% shows strong resilience compared to peers.

Industry

• Industry P/E at 43.9 indicates sector is moderately valued compared to GVT&D’s high valuation.
• Power transmission and distribution sector demand expected to remain strong with infrastructure expansion.

Conclusion

⚖️ GVT&D is in a consolidation phase with mild bearish bias but strong long-term uptrend. Entry near 2,900–2,920 ₹ offers favorable risk-reward, while exits around 2,950–3,000 ₹ are optimal. Watch for MACD crossover and RSI recovery to confirm breakout momentum. Strong fundamentals and FII support provide stability despite high valuation.