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IOC - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.5

Last Updated Time : 04 May 26, 11:57 am

Technical Rating: 3.5

Stock Code IOC Market Cap 2,00,875 Cr. Current Price 142 ₹ High / Low 189 ₹
Stock P/E 6.15 Book Value 133 ₹ Dividend Yield 4.92 % ROCE 7.26 %
ROE 6.41 % Face Value 10.0 ₹ DMA 50 151 ₹ DMA 200 154 ₹
Chg in FII Hold 1.27 % Chg in DII Hold -0.90 % PAT Qtr 12,126 Cr. PAT Prev Qtr 7,610 Cr.
RSI 42.4 MACD -1.64 Volume 1,79,16,777 Avg Vol 1Wk 1,36,82,662
Low price 130 ₹ High price 189 ₹ PEG Ratio -0.28 Debt to equity 0.74
52w Index 20.5 % Qtr Profit Var 420 % EPS 23.2 ₹ Industry PE 15.7

📉 IOC is trading below both its 50 DMA (₹151) and 200 DMA (₹154), reflecting short-term and medium-term weakness. RSI at 42.4 indicates bearish momentum, while MACD at -1.64 confirms negative crossover. Bollinger Bands show price near the lower band, reflecting selling pressure. Current volume (1.79 Cr.) is above average (1.36 Cr.), suggesting strong participation on the downside.

🔑 Short-term momentum signals: Bearish bias, with potential rebound only if price sustains above ₹145–₹150.

🎯 Entry Zone: ₹138–₹142 (support region)

🚪 Exit Zone: ₹155–₹160 (resistance region)

📊 Trend Status: Consolidating with bearish tilt

Positive

  • Strong quarterly PAT growth (+420%) from ₹7,610 Cr. to ₹12,126 Cr.
  • Dividend yield of 4.92% provides steady income
  • EPS at ₹23.2 supports valuation strength
  • FII holdings increased (+1.27%), showing foreign investor confidence
  • Low P/E (6.15) compared to industry average (15.7), indicating undervaluation

Limitation

  • Price trading below both 50 DMA and 200 DMA
  • Weak ROE (6.41%) and ROCE (7.26%)
  • PEG ratio at -0.28 indicates poor growth valuation
  • Decline in DII holdings (-0.90%)
  • Bearish RSI and MACD confirm weak technical momentum

Company Negative News

  • Stock under pressure with price below long-term averages
  • Weak profitability ratios despite strong PAT
  • Decline in domestic institutional holdings

Company Positive News

  • Quarterly PAT surged significantly (+420%)
  • FII inflows (+1.27%) support investor sentiment
  • Dividend yield at 4.92% adds income cushion

Industry

  • Industry PE at 15.7 highlights sector trading at higher multiples
  • Oil & gas sector remains volatile with global crude price fluctuations

Conclusion

⚖️ IOC shows strong earnings growth and attractive dividend yield, but technicals remain weak with price below key moving averages and bearish RSI/MACD. Entry near ₹138–₹142 offers tactical opportunity, with profit booking around ₹155–₹160. Trend remains consolidative with bearish tilt, requiring breakout above 200 DMA (₹154) for sustained upside momentum.

Would you like me to extend this into a sector overlay comparing IOC against BPCL, HPCL, and ONGC to highlight relative strength and valuation positioning within the oil & gas sector?

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