HINDZINC - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.8
| Stock Code | HINDZINC | Market Cap | 2,27,027 Cr. | Current Price | 537 ₹ | High / Low | 733 ₹ |
| Stock P/E | 19.4 | Book Value | 32.2 ₹ | Dividend Yield | 5.39 % | ROCE | 60.7 % |
| ROE | 72.4 % | Face Value | 2.00 ₹ | DMA 50 | 591 ₹ | DMA 200 | 535 ₹ |
| Chg in FII Hold | 0.22 % | Chg in DII Hold | -0.24 % | PAT Qtr | 3,860 Cr. | PAT Prev Qtr | 2,632 Cr. |
| RSI | 36.0 | MACD | -17.8 | Volume | 67,10,309 | Avg Vol 1Wk | 62,93,019 |
| Low price | 385 ₹ | High price | 733 ₹ | PEG Ratio | 7.60 | Debt to equity | 0.82 |
| 52w Index | 43.8 % | Qtr Profit Var | 45.8 % | EPS | 27.7 ₹ | Industry PE | 49.2 |
📊 Chart & Trend Analysis: HINDZINC is trading at ₹537, below its 50 DMA (₹591) but slightly above its 200 DMA (₹535), reflecting mixed signals. RSI at 36.0 indicates oversold conditions, while MACD at -17.8 confirms bearish momentum. Bollinger Bands show price near the lower band, suggesting selling pressure. Volume is slightly above average, showing active participation in the downtrend.
📈 Momentum Signals: Short-term momentum is weak, with RSI oversold and MACD negative. A rebound may occur if support holds, but trend remains bearish. Consolidation is possible before reversal attempts.
💹 Entry & Exit Zones:
- Optimal Entry: ₹525–₹540 (near support, oversold RSI)
- Stop-Loss: ₹510 (below support zone)
- Exit Zone: ₹585–₹600 (near 50 DMA resistance)
- Major Resistance: ₹733 (recent high)
📉 Trend Status: The stock is consolidating with bearish bias, supported by 200 DMA but capped by 50 DMA resistance.
Positive
- Strong ROCE (60.7%) and ROE (72.4%) highlight exceptional capital efficiency.
- Dividend yield of 5.39% provides attractive income for investors.
- Quarterly PAT surged to ₹3,860 Cr. from ₹2,632 Cr., showing robust earnings growth.
- EPS of ₹27.7 reflects solid profitability.
Limitation
- P/E of 19.4 is lower than industry average (49.2), but PEG ratio of 7.60 suggests expensive growth prospects.
- Debt-to-equity ratio of 0.82 indicates moderate leverage.
- Price trading below 50 DMA shows weak short-term technical strength.
Company Negative News
- DII holdings decreased (-0.24%), showing reduced domestic institutional support.
- Stock corrected from its 52-week high of ₹733, reflecting selling pressure.
Company Positive News
- FII holdings increased (+0.22%), showing foreign investor confidence.
- Quarterly profit variation of 45.8% highlights strong operational improvement.
Industry
- Metals and mining industry benefits from global demand recovery and infrastructure push.
- Industry PE at 49.2 highlights relatively expensive peers compared to HINDZINC’s P/E of 19.4.
Conclusion
⚖️ HINDZINC is technically consolidating with bearish bias, trading below 50 DMA but supported by 200 DMA. Traders may consider entry near ₹525–₹540 with strict stop-loss at ₹510, targeting ₹585–₹600 in the short term. Long-term investors may find value given strong fundamentals, high dividend yield, and robust profitability, but should be cautious of leverage and expensive growth metrics.
Would you like me to extend this into a peer benchmarking overlay (e.g., Hindalco, Vedanta, Nalco) so you can evaluate sector rotation opportunities alongside HINDZINC?