HAVELLS - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 2.8
| Stock Code | HAVELLS | Market Cap | 80,160 Cr. | Current Price | 1,278 ₹ | High / Low | 1,713 ₹ |
| Stock P/E | 52.5 | Book Value | 138 ₹ | Dividend Yield | 0.78 % | ROCE | 25.6 % |
| ROE | 19.0 % | Face Value | 1.00 ₹ | DMA 50 | 1,401 ₹ | DMA 200 | 1,490 ₹ |
| Chg in FII Hold | -1.32 % | Chg in DII Hold | 1.18 % | PAT Qtr | 335 Cr. | PAT Prev Qtr | 317 Cr. |
| RSI | 27.6 | MACD | -43.1 | Volume | 3,32,556 | Avg Vol 1Wk | 10,93,499 |
| Low price | 1,257 ₹ | High price | 1,713 ₹ | PEG Ratio | 6.67 | Debt to equity | 0.03 |
| 52w Index | 4.40 % | Qtr Profit Var | 18.4 % | EPS | 23.8 ₹ | Industry PE | 24.6 |
📊 Chart & Trend Analysis: HAVELLS is trading at ₹1,278, well below its 50 DMA (₹1,401) and 200 DMA (₹1,490), indicating strong short-term weakness. RSI at 27.6 suggests the stock is oversold. MACD at -43.1 confirms bearish momentum. Current volume (3.3L) is significantly lower than the weekly average (10.9L), showing weak participation. Bollinger Bands indicate price hugging the lower band, reinforcing bearish sentiment.
📈 Momentum Signals: Short-term momentum is negative, with RSI oversold and MACD bearish crossover. Weak volume further confirms lack of buying strength.
🎯 Entry Zone: ₹1,260 – ₹1,275 (near immediate support)
🚪 Exit Zone: ₹1,380 – ₹1,400 (near resistance at 50 DMA)
🔎 Trend Status: Reversing with bearish bias. Sustained trade below ₹1,260 could trigger further downside towards ₹1,200, while recovery above ₹1,400 may signal trend reversal to bullish.
Positive
- Strong ROCE (25.6%) and ROE (19.0%) highlight efficient capital use.
- Debt-to-equity ratio of 0.03 indicates very low leverage risk.
- Quarterly PAT growth from ₹317 Cr. to ₹335 Cr. shows earnings momentum.
- DII holding increased by 1.18%, reflecting domestic institutional support.
Limitation
- Stock trading below both 50 DMA and 200 DMA signals weakness.
- High P/E ratio (52.5) compared to industry average (24.6) suggests overvaluation.
- PEG ratio of 6.67 indicates expensive growth prospects.
- Weak trading volume reduces conviction in recovery moves.
Company Negative News
- Decline in FII holding (-1.32%) signals reduced foreign investor confidence.
Company Positive News
- Quarterly profit variation of 18.4% shows strong earnings growth.
- EPS of ₹23.8 reflects consistent profitability.
Industry
- Consumer electricals sector remains resilient with demand for appliances and infrastructure growth.
- Industry P/E at 24.6 highlights moderate sector valuation compared to HAVELLS’s premium.
Conclusion
⚖️ HAVELLS is reversing with a bearish bias. Entry near ₹1,260–₹1,275 offers cautious accumulation, while exits near ₹1,380–₹1,400 provide short-term profit booking. Strong fundamentals support long-term holding, but current technical weakness, high valuation, and declining foreign investor confidence warrant patience for better entry opportunities.
Would you like me to extend this into a peer benchmarking overlay (Polycab, Crompton, V-Guard) so you can compare HAVELLS’s relative strength within the consumer electricals basket?