JYOTHYLAB - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.5
| Stock Code | JYOTHYLAB | Market Cap | 7,873 Cr. | Current Price | 214 ₹ | High / Low | 400 ₹ |
| Stock P/E | 22.8 | Book Value | 39.2 ₹ | Dividend Yield | 1.63 % | ROCE | 37.1 % |
| ROE | 29.0 % | Face Value | 1.00 ₹ | DMA 50 | 249 ₹ | DMA 200 | 297 ₹ |
| Chg in FII Hold | 0.66 % | Chg in DII Hold | -0.94 % | PAT Qtr | 81.1 Cr. | PAT Prev Qtr | 87.8 Cr. |
| RSI | 27.1 | MACD | -9.29 | Volume | 8,56,842 | Avg Vol 1Wk | 9,01,088 |
| Low price | 210 ₹ | High price | 400 ₹ | PEG Ratio | 0.59 | Debt to equity | 0.04 |
| 52w Index | 2.21 % | Qtr Profit Var | -7.20 % | EPS | 9.33 ₹ | Industry PE | 28.1 |
📈 Chart & Trend: The stock is trading well below both its 50 DMA (249 ₹) and 200 DMA (297 ₹), showing clear weakness. Current price (214 ₹) is near its 52-week low (210 ₹), indicating strong bearish pressure.
📊 Momentum Indicators: RSI at 27.1 signals oversold conditions, suggesting potential for a short-term bounce. MACD at -9.29 confirms bearish momentum. Bollinger Bands show price hugging the lower band, consistent with oversold consolidation.
🔎 Volume Trends: Current volume (8.56 lakh) is slightly below the 1-week average (9.01 lakh), showing reduced participation and lack of strong buying support.
💡 Entry Zone: 210–220 ₹ (near strong support at 210 ₹, oversold RSI offers tactical entry)
💡 Exit Zone: 240–250 ₹ (resistance near 249 ₹, aligning with 50 DMA)
📌 Trend Status: The stock is consolidating at oversold levels, with potential for a short-term reversal bounce but medium-term trend remains weak.
Positive
- Strong ROCE (37.1%) and ROE (29%) highlight excellent capital efficiency.
- PEG ratio of 0.59 suggests growth is undervalued relative to earnings.
- Low debt-to-equity (0.04) indicates a very healthy balance sheet.
- Dividend yield of 1.63% provides income support.
Limitation
- Stock trading far below both 50 DMA and 200 DMA shows weak technical strength.
- Quarterly profit decline (-7.2%) indicates earnings pressure.
- DII holding decreased (-0.94%), showing reduced domestic institutional confidence.
Company Negative News
- PAT declined from 87.8 Cr to 81.1 Cr, reflecting earnings slowdown.
- Stock has lost significant value from its 52-week high of 400 ₹ to current 214 ₹.
Company Positive News
- FII holding increased (+0.66%), signaling foreign investor interest.
- Strong fundamentals (ROCE, ROE, low debt) provide long-term resilience despite short-term weakness.
Industry
- Industry P/E (28.1) is slightly higher than company P/E (22.8), suggesting Jyothy Labs is trading at a discount relative to peers.
- 52-week industry index return of 2.21% shows muted sector performance.
Conclusion
⚖️ Jyothy Labs is technically weak, consolidating near oversold levels. Fundamentals remain strong, but short-term momentum is bearish. Tactical strategy: accumulate near 210–220 ₹ with strict stop-loss below 210 ₹, and target exits around 240–250 ₹. Medium-term recovery depends on earnings stabilization and crossing 249–297 ₹ resistance zones.
Would you like me to extend this into a peer benchmarking overlay against other FMCG mid-cap stocks? That would highlight whether Jyothy Labs’ current weakness is sector-driven or company-specific.