JYOTHYLAB - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.2

📊 Chart Patterns & Trend: JYOTHYLAB is trading below both its 50 DMA (303 ₹) and 200 DMA (337 ₹), reflecting bearish momentum. The price has corrected sharply from its 52-week high (423 ₹) and is consolidating near support levels around 270–285 ₹.

📈 Moving Averages: Current price (281 ₹) is under both DMAs, confirming weakness. A recovery above 300–310 ₹ would be required to regain momentum.

📉 RSI: At 32.6, RSI is near oversold territory, suggesting potential for a short-term rebound.

📉 MACD: Negative at -6.99, 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 (1,37,289) is below average weekly volume (1,65,481), 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: 270–280 ₹ (near strong support levels).

💹 Exit Zone: 305–320 ₹ (resistance near 50 DMA).

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

Positive

• EPS of 9.50 ₹ with strong ROE of 29% and ROCE of 37.1%.
• PEG ratio of 0.76 suggests reasonable valuation relative to growth.
• Debt-to-equity ratio of 0.04 indicates a nearly debt-free balance sheet.
• DII holdings increased by 0.10%, reflecting domestic institutional confidence.

Limitation

• Price trading below both 50 DMA and 200 DMA signals weak momentum.
• Quarterly profit variation at -16.4% highlights earnings pressure.
• Dividend yield of 1.23% is modest for income-focused investors.
• Volume below average, limiting breakout potential.

Company Negative News

• Quarterly PAT declined to 87.8 Cr. from 96.8 Cr., showing earnings pressure.
• FII holdings decreased by 0.55%, reflecting reduced foreign investor confidence.

Company Positive News

• DII holdings increased, reflecting domestic support.
• Strong ROE and ROCE highlight operational efficiency despite recent weakness.

Industry

• Industry PE at 31.3 is slightly higher than JYOTHYLAB’s P/E of 29.2, suggesting fair valuation.
• FMCG sector benefits from steady demand but faces margin pressures due to input costs.

Conclusion

⚖️ JYOTHYLAB is consolidating near support levels with weak momentum but oversold indicators suggest potential rebound. Entry around 270–280 ₹ offers favorable risk-reward, while exits near 305–320 ₹ are optimal. Long-term investors may find value given strong efficiency metrics, though earnings pressure and weak momentum remain concerns.