JUSTDIAL - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:55 pm

Technical Rating: 3.1

📊 Chart Patterns & Trend: JUSTDIAL is trading below both its 50 DMA (755 ₹) and 200 DMA (840 ₹), reflecting bearish momentum. The price has corrected sharply from its 52-week high (1,096 ₹) and is consolidating near support levels around 720–740 ₹.

📈 Moving Averages: Current price (730 ₹) is under both DMAs, confirming weakness. A recovery above 760–770 ₹ would be needed to regain momentum.

📉 RSI: At 32.2, RSI is near oversold territory, suggesting potential for a short-term rebound.

📉 MACD: Negative at -15.2, confirming bearish sentiment and lack of strong upward crossover.

📊 Bollinger Bands: Price is near the lower band, reflecting oversold conditions and possible mean reversion.

📊 Volume Trends: Current volume (51,357) is slightly below average weekly volume (57,351), showing reduced participation and cautious sentiment.

🎯 Momentum Signals: Weak short-term signals with bearish bias. Oversold RSI and Bollinger positioning hint at a possible rebound if buying interest emerges.

💹 Entry Zone: 710–730 ₹ (near strong support levels).

💹 Exit Zone: 770–800 ₹ (resistance near 50 DMA).

📌 Overall Trend: The stock is in a consolidation phase with bearish undertones, awaiting stronger volume for reversal.

Positive

• EPS of 66.8 ₹ with low P/E of 10.9 compared to industry average (30.1), suggesting undervaluation.
• Debt-to-equity ratio of 0.02 indicates a nearly debt-free balance sheet.
• DII holdings increased by 0.25%, showing domestic institutional confidence.

Limitation

• ROE (6.18%) and ROCE (7.11%) are modest, reflecting limited efficiency.
• Dividend yield of 0.00% provides no income appeal.
• Price trading below both DMAs signals weak momentum.

Company Negative News

• Quarterly PAT declined to 119 Cr. from 160 Cr., showing earnings pressure.
• FII holdings decreased by 0.56%, reflecting reduced foreign investor confidence.

Company Positive News

• DII holdings increased, reflecting domestic support.
• Low P/E relative to peers suggests potential value opportunity.

Industry

• Industry PE at 30.1 is much higher than JUSTDIAL’s P/E of 10.9, suggesting undervaluation relative to peers.
• Digital services sector benefits from rising internet penetration but faces competitive pressures.

Conclusion

⚖️ JUSTDIAL is consolidating near support levels with weak momentum but oversold indicators suggest potential rebound. Entry around 710–730 ₹ offers favorable risk-reward, while exits near 770–800 ₹ are optimal. Long-term investors may find value given its low P/E and debt-free balance sheet, though earnings pressure and modest efficiency remain concerns.