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IEX - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.2

Last Updated Time : 02 Feb 26, 09:51 am

Technical Rating: 3.2

Stock Code IEX Market Cap 11,134 Cr. Current Price 125 ₹ High / Low 215 ₹
Stock P/E 24.1 Book Value 13.5 ₹ Dividend Yield 2.40 % ROCE 53.6 %
ROE 40.5 % Face Value 1.00 ₹ DMA 50 137 ₹ DMA 200 152 ₹
Chg in FII Hold -1.78 % Chg in DII Hold -1.48 % PAT Qtr 115 Cr. PAT Prev Qtr 122 Cr.
RSI 35.3 MACD -3.79 Volume 76,78,951 Avg Vol 1Wk 97,49,935
Low price 122 ₹ High price 215 ₹ PEG Ratio 1.98 Debt to equity 0.00
52w Index 3.01 % Qtr Profit Var 11.6 % EPS 5.18 ₹ Industry PE 58.4

📊 Chart Patterns & Trend: IEX is in a bearish reversal phase after correcting from its highs. Price is trading below both the 50 DMA (137 ₹) and 200 DMA (152 ₹), indicating short-term weakness and medium-term resistance. Support is visible near 122–125 ₹.

📉 Moving Averages: Both 50 DMA and 200 DMA are acting as resistance. Sustained move above 140–145 ₹ would be required to confirm a reversal.

📉 RSI: At 35.3, RSI is weak, suggesting bearish momentum and oversold conditions.

📉 MACD: Negative (-3.79), showing bearish crossover and continued downside momentum.

📊 Bollinger Bands: Price is near the lower band, reflecting oversold conditions. A rebound toward 135–140 ₹ is possible if support holds.

📊 Volume Trends: Current volume (76.7 lakh) is lower than average weekly volume (97.5 lakh), showing reduced participation and lack of strong buying support.

🎯 Entry Zone: 122–126 ₹ (support zone).

🎯 Exit Zone: 140–150 ₹ (resistance zone).

🔑 Stop Loss: 120 ₹ (below recent support).


Positive

  • ROCE at 53.6% and ROE at 40.5% indicate excellent efficiency.
  • Debt-free balance sheet (Debt-to-equity ratio 0.00).
  • Dividend yield of 2.40% adds income stability.
  • EPS at 5.18 ₹ supports valuation strength.

Limitation

  • Price trading below both 50 DMA and 200 DMA confirms bearish trend.
  • PEG ratio of 1.98 indicates limited growth-adjusted value.
  • Weak volume participation limits momentum strength.

Company Negative News

  • FII holdings decreased (-1.78%) and DII holdings decreased (-1.48%), showing reduced institutional confidence.
  • Quarterly PAT declined from 122 Cr. to 115 Cr., reflecting earnings pressure.

Company Positive News

  • Strong fundamentals with high ROCE and ROE.
  • Dividend yield of 2.40% provides investor support.
  • 52-week performance shows resilience with 3.01% index gain despite correction.

Industry

  • Industry PE at 58.4 vs. stock PE at 24.1 highlights undervaluation relative to peers.
  • Power trading and energy exchange sector supported by rising demand for electricity and renewable integration.

Conclusion

⚖️ IEX is in a bearish reversal phase with weak signals (RSI low, MACD negative). Short-term bounce is possible from 122–126 ₹, but resistance near 140–150 ₹ limits upside. Medium-term outlook remains cautious due to declining institutional holdings and earnings pressure, though strong fundamentals, debt-free status, and undervaluation relative to peers provide stability. Risk management is crucial for traders considering entry.

Would you like me to extend this into a peer benchmarking overlay with other energy trading and power sector companies (like PTC India, Adani Energy Solutions, and Tata Power) to highlight relative strength and sector rotation opportunities?

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