KANSAINER - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.6
| Stock Code | KANSAINER | Market Cap | 18,701 Cr. | Current Price | 231 ₹ | High / Low | 275 ₹ |
| Stock P/E | 28.3 | Book Value | 79.6 ₹ | Dividend Yield | 1.08 % | ROCE | 14.0 % |
| ROE | 10.4 % | Face Value | 1.00 ₹ | DMA 50 | 235 ₹ | DMA 200 | 245 ₹ |
| Chg in FII Hold | -0.44 % | Chg in DII Hold | 0.38 % | PAT Qtr | 137 Cr. | PAT Prev Qtr | 231 Cr. |
| RSI | 46.8 | MACD | 0.31 | Volume | 1,66,724 | Avg Vol 1Wk | 1,58,588 |
| Low price | 218 ₹ | High price | 275 ₹ | PEG Ratio | 1.51 | Debt to equity | 0.03 |
| 52w Index | 23.1 % | Qtr Profit Var | 5.21 % | EPS | 12.6 ₹ | Industry PE | 40.9 |
📊 Chart Patterns: KANSAINER is trading below both 50 DMA (235 ₹) and 200 DMA (245 ₹), showing short-term weakness. Support levels are near 225 ₹ and strong support at 218 ₹, while resistance lies around 240–245 ₹.
📈 Moving Averages: Current price (231 ₹) is below both 50 DMA and 200 DMA, indicating bearish bias in the near term.
📉 RSI: At 46.8, RSI is close to neutral but leaning towards oversold, suggesting limited downside.
📉 MACD: Slightly positive at 0.31, indicating early signs of momentum shift but not yet strong enough to confirm reversal.
📊 Bollinger Bands: Price is near the lower band, signaling oversold conditions and possible short-term bounce.
📊 Volume Trends: Current volume (1,66,724) is slightly higher than average weekly volume (1,58,588), suggesting increased activity and possible accumulation at lower levels.
🚀 Momentum Signals: Weak trend but oversold indicators hint at a potential reversal if support zones hold.
🎯 Optimal Entry Zone: 225–230 ₹ (near support levels).
🎯 Optimal Exit Zone: 240–245 ₹ (near resistance and DMA levels).
📌 Trend Status: The stock is currently consolidating with bearish bias, but oversold signals and slight MACD positivity suggest a possible reversal.
Positive
- 📈 EPS at 12.6 ₹, showing consistent earnings capability.
- 💰 Low debt-to-equity ratio (0.03), ensuring financial stability.
- 🏦 ROCE (14.0%) and ROE (10.4%) indicate efficient capital utilization.
- 📊 Increased DII holdings (+0.38%), showing domestic investor confidence.
Limitation
- ⚠️ Current price below both 50 DMA and 200 DMA, showing weak technical strength.
- 📉 FII holdings decreased (-0.44%), indicating reduced foreign investor confidence.
- 📉 Quarterly PAT dropped from 231 Cr. to 137 Cr., showing earnings pressure.
Company Negative News
- 📉 Sequential decline in PAT (231 Cr. to 137 Cr.).
- ⚠️ Stock has corrected from 52-week high (275 ₹ to 231 ₹).
Company Positive News
- 📈 Dividend yield at 1.08%, providing shareholder returns.
- 💹 PEG ratio at 1.51, indicating fair valuation relative to growth.
- 🏦 Stable financial structure with minimal debt.
Industry
- 🎨 Paints and coatings industry supported by housing and infrastructure demand.
- 📊 Industry PE at 40.9, showing premium sector valuations.
- 🌍 Rising urbanization and construction activity boost industry outlook.
Conclusion
⚖️ KANSAINER is fundamentally stable with low debt and consistent earnings, though recent profit decline is a concern. Technically, the stock is consolidating with bearish bias but oversold indicators and slight MACD positivity suggest potential reversal. Investors may consider accumulating near 225–230 ₹ with a medium-term target of 240–245 ₹, while monitoring earnings performance and institutional activity.