INDIAMART - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 4.0

📈 INDIAMART is trending upward with stable technical indicators and strong long-term fundamentals, though short-term momentum is moderate.

📊 Technical Analysis

• Trend Status: Trending — price is above both 50-DMA and 200-DMA, indicating bullish alignment.
• Moving Averages: Price ₹2,467 is above 50-DMA (₹2,449) and 200-DMA (₹2,446), confirming trend support.
• RSI (54.9): Neutral to bullish zone, suggesting steady momentum with room to rise.
• MACD (1.31): Positive crossover, indicating mild bullish sentiment.
• Bollinger Bands: Price near mid-band, consistent with consolidation and low volatility.
• Volume: Current volume (73.5K) is slightly below weekly average (81.2K), showing stable but cautious participation.

🎯 Entry & Exit Zones

• Support Levels: ₹2,449 (50-DMA), ₹2,400, ₹2,300
• Resistance Levels: ₹2,550, ₹2,650, ₹2,799 (52-week high)
• Optimal Entry: ₹2,440–₹2,460 (on pullback)
• Exit Target: ₹2,650–₹2,799 (resistance zone)

✅ Positive

• Strong ROCE (37.7%) and ROE (30.0%) reflect excellent capital efficiency.
• Low debt-to-equity ratio (0.01) indicates robust financial health.
• EPS of ₹101 and PEG ratio of 0.97 suggest fair valuation relative to growth.
• FII holdings increased by 2.32%, showing strong foreign investor confidence.

⚠️ Limitation

• MACD and RSI show only moderate momentum, limiting short-term upside.
• Volume slightly below average, indicating cautious market interest.
• Stock P/E (24.4) is below industry average (28.7), but may reflect earnings volatility.

📉 Company Negative News

• Quarterly PAT dropped from ₹166 Cr to ₹83.5 Cr, indicating margin pressure.
• DII holdings declined by 2.30%, reflecting domestic investor caution.

📈 Company Positive News

• Strong institutional interest from FIIs and consistent long-term profitability.
• Stock has gained 65% from its 52-week low of ₹1,850, confirming recovery momentum.

🏭 Industry

• B2B e-commerce and digital marketplace sector remains resilient with increasing SME adoption and digitization.
• Industry P/E (28.7) is slightly higher than INDIAMART’s, suggesting relative undervaluation.

🧾 Conclusion

• INDIAMART is trending upward with solid technical support and strong fundamentals.
• Entry near ₹2,440–₹2,460 could offer a favorable setup with targets around ₹2,650–₹2,799.
• Investors should monitor volume and earnings trajectory for confirmation of sustained upside.