KAJARIACER - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.2
| Stock Code | KAJARIACER | Market Cap | 14,128 Cr. | Current Price | 885 ₹ | High / Low | 1,322 ₹ |
| Stock P/E | 39.7 | Book Value | 174 ₹ | Dividend Yield | 1.02 % | ROCE | 16.8 % |
| ROE | 10.8 % | Face Value | 1.00 ₹ | DMA 50 | 1,011 ₹ | DMA 200 | 1,089 ₹ |
| Chg in FII Hold | 0.09 % | Chg in DII Hold | 0.30 % | PAT Qtr | 106 Cr. | PAT Prev Qtr | 121 Cr. |
| RSI | 28.3 | MACD | -35.5 | Volume | 1,02,402 | Avg Vol 1Wk | 3,22,783 |
| Low price | 745 ₹ | High price | 1,322 ₹ | PEG Ratio | -4.85 | Debt to equity | 0.04 |
| 52w Index | 24.3 % | Qtr Profit Var | 33.3 % | EPS | 16.2 ₹ | Industry PE | 38.9 |
📊 Chart Patterns & Trend: The stock is trading at ₹885, well below its 50 DMA (₹1,011) and 200 DMA (₹1,089), reflecting strong bearish pressure. Price action is near the lower end of its 52-week range (₹745–₹1,322), suggesting oversold conditions and possible consolidation.
📈 Moving Averages: Current price is below both 50 DMA and 200 DMA, confirming downward momentum. A recovery above ₹1,011 would be the first bullish signal, while sustaining above ₹1,089 would confirm reversal.
📉 RSI: At 28.3, RSI is in oversold territory, indicating potential for a short-term rebound if buying interest emerges.
📉 MACD: Negative at -35.5, showing strong bearish momentum. Trend remains weak until MACD narrows toward zero.
📊 Bollinger Bands: Price is near the lower band, suggesting limited downside and potential mean reversion toward ₹930–₹970.
📊 Volume Trends: Current volume (1.02 Lakh) is significantly lower than average weekly volume (3.22 Lakh), showing reduced participation and lack of strong breakout signals.
🎯 Entry Zone: ₹860–₹890 (near support and oversold RSI).
🎯 Exit Zone: ₹970–₹1,010 (near 50 DMA resistance).
📌 Trend Status: Bearish with signs of consolidation. A reversal may occur if RSI rebounds and price sustains above ₹930–₹970.
Positive
- Strong ROCE (16.8%) and ROE (10.8%) highlight efficient capital use.
- Low debt-to-equity ratio (0.04) ensures financial stability.
- Dividend yield of 1.02% provides steady income for investors.
- EPS at ₹16.2 remains healthy compared to peers.
Limitation
- Stock P/E (39.7) is slightly higher than industry PE (38.9), indicating premium valuation.
- Price trading below both 50 DMA and 200 DMA confirms weak momentum.
- PEG ratio (-4.85) is negative, suggesting poor valuation relative to growth.
Company Negative News
- Quarterly PAT declined to ₹106 Cr from ₹121 Cr, showing earnings pressure.
- Volume activity below average suggests weak investor participation.
Company Positive News
- FII holdings increased (+0.09%), showing foreign investor interest.
- DII holdings increased (+0.30%), reflecting domestic institutional support.
- Quarterly profit variation (+33.3%) indicates improvement compared to prior year.
Industry
- Industry PE at 38.9 is close to the stock’s P/E, suggesting sector trades at premium valuations.
- Despite weak momentum, KAJARIACER maintains strong fundamentals with low debt and consistent ROCE.
Conclusion
⚖️ KAJARIACER is currently in a bearish phase, trading below key moving averages with weak momentum indicators. However, oversold RSI and strong fundamentals provide potential for a short-term rebound. Entry near ₹860–₹890 offers favorable risk-reward, while exits around ₹970–₹1,010 align with resistance. Sustained buying and a move above ₹1,011–₹1,089 would confirm reversal toward bullish momentum.