IRB - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | IRB | Market Cap | 26,185 Cr. | Current Price | 21.7 ₹ | High / Low | 27.2 ₹ |
| Stock P/E | 26.1 | Book Value | 13.2 ₹ | Dividend Yield | 0.71 % | ROCE | 7.31 % |
| ROE | 6.55 % | Face Value | 1.00 ₹ | DMA 50 | 21.3 ₹ | DMA 200 | 21.8 ₹ |
| Chg in FII Hold | 0.52 % | Chg in DII Hold | 0.05 % | PAT Qtr | 390 Cr. | PAT Prev Qtr | 287 Cr. |
| RSI | 53.6 | MACD | 0.07 | Volume | 1,11,05,145 | Avg Vol 1Wk | 11,22,29,324 |
| Low price | 18.5 ₹ | High price | 27.2 ₹ | PEG Ratio | 0.66 | Debt to equity | 0.74 |
| 52w Index | 36.6 % | Qtr Profit Var | 40.0 % | EPS | 0.83 ₹ | Industry PE | 17.1 |
📈 IRB is trading slightly above its 50 DMA (₹21.3) and near the 200 DMA (₹21.8), showing short-term strength but medium-term consolidation. RSI at 53.6 indicates neutral-to-positive momentum, while MACD is marginally positive (0.07), suggesting weak bullish crossover. Bollinger Bands show price mid-range, leaving room for upside. Current volume (1.11 Cr.) is slightly below average (1.12 Cr.), reflecting stable participation.
🔑 Short-term momentum signals: Mildly bullish, with potential upside if price sustains above ₹22–₹23 zone.
🎯 Entry Zone: ₹20.5–₹21.5 (support region)
🚪 Exit Zone: ₹25–₹26 (resistance region)
📊 Trend Status: Consolidating with bullish bias
Positive
- Trading above both 50 DMA and 200 DMA
- Quarterly PAT growth from ₹287 Cr. to ₹390 Cr. (+40%)
- FII holding increased (+0.52%), showing foreign investor confidence
- DII holding also increased (+0.05%)
- PEG ratio at 0.66 highlights value relative to growth
- Debt-to-equity ratio at 0.74 indicates manageable leverage
Limitation
- P/E ratio (26.1) higher than industry average (17.1)
- ROE (6.55%) and ROCE (7.31%) remain weak
- EPS at ₹0.83 is low compared to peers
- Volume slightly below average, limiting breakout strength
Company Negative News
- Valuation stretched compared to industry peers
- Profitability ratios remain weak despite PAT growth
Company Positive News
- Strong quarterly PAT growth (+40%)
- Institutional holdings (FII & DII) increased
- Price supported by DMA levels
Industry
- Industry PE at 17.1 highlights sector trading at lower multiples
- Infrastructure sector supported by government spending and road development projects
Conclusion
⚖️ IRB shows mild bullish signals with RSI above 50 and positive MACD. Entry is favorable near ₹20.5–₹21.5 with profit booking around ₹25–₹26. Trend remains consolidative but could turn bullish if price sustains above ₹23 with volume confirmation. Fundamentals show improving PAT but weak efficiency ratios, making it more suitable for tactical trades than long-term holding.
Would you like me to extend this into a sector overlay comparing IRB’s valuation and technicals against peers like KNR Constructions, Ashoka Buildcon, and Dilip Buildcon to highlight relative positioning in the infrastructure space?