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KARURVYSYA - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.1

Last Updated Time : 02 Feb 26, 09:51 am

Technical Rating: 4.1

Stock Code KARURVYSYA Market Cap 27,646 Cr. Current Price 286 ₹ High / Low 306 ₹
Stock P/E 12.0 Book Value 132 ₹ Dividend Yield 0.76 % ROCE 7.38 %
ROE 17.6 % Face Value 2.00 ₹ DMA 50 263 ₹ DMA 200 230 ₹
Chg in FII Hold 1.06 % Chg in DII Hold 0.23 % PAT Qtr 690 Cr. PAT Prev Qtr 574 Cr.
RSI 59.4 MACD 9.25 Volume 63,70,584 Avg Vol 1Wk 1,75,37,340
Low price 154 ₹ High price 306 ₹ PEG Ratio 0.28 Debt to equity 8.83
52w Index 86.9 % Qtr Profit Var 39.1 % EPS 23.8 ₹ Industry PE 15.8

📊 Chart Patterns & Trend: The stock is trading at ₹286, above both its 50 DMA (₹263) and 200 DMA (₹230), reflecting strong bullish momentum. Price action is near its 52-week high of ₹306, suggesting an uptrend with potential resistance ahead.

📈 Moving Averages: Current price is comfortably above both 50 DMA and 200 DMA, confirming bullish strength. Sustaining above ₹280–₹285 supports continuation toward ₹300–₹306.

📉 RSI: At 59.4, RSI is in the bullish-neutral zone, indicating healthy momentum without being overbought.

📈 MACD: Positive at 9.25, showing bullish divergence. Trend remains strong as long as MACD stays positive.

📊 Bollinger Bands: Price is near the upper band, suggesting strong momentum but limited upside in the short term. A pullback toward ₹275–₹280 could provide re-entry opportunities.

📊 Volume Trends: Current volume (63.7 Lakh) is lower than average weekly volume (1.75 Cr), indicating reduced participation but still supportive of the uptrend.

🎯 Entry Zone: ₹275–₹285 (near support and moving averages).

🎯 Exit Zone: ₹300–₹306 (near resistance and 52-week high).

📌 Trend Status: Trending upward with bullish bias. Consolidation may occur near ₹300–₹306 before further breakout.


Positive

  • Strong ROE (17.6%) highlights efficient shareholder returns.
  • PEG ratio of 0.28 suggests undervaluation relative to growth.
  • Quarterly PAT improved to ₹690 Cr from ₹574 Cr, showing earnings growth.
  • EPS at ₹23.8 is robust compared to peers.
  • Stock trading above both 50 DMA and 200 DMA confirms bullish momentum.

Limitation

  • ROCE at 7.38% is relatively weak compared to industry standards.
  • Debt-to-equity ratio of 8.83 is very high, raising leverage concerns.
  • Volume participation is lower than average, limiting breakout strength.

Company Negative News

  • High leverage (Debt-to-equity 8.83) may impact financial flexibility.

Company Positive News

  • FII holdings increased (+1.06%), showing strong foreign investor confidence.
  • DII holdings increased (+0.23%), reflecting domestic institutional support.
  • Quarterly profit growth (+39.1%) indicates strong operational performance.

Industry

  • Industry PE at 15.8 is higher than the stock’s P/E (12.0), suggesting relative undervaluation.
  • Sector outlook remains favorable, supporting continued growth momentum.

Conclusion

⚖️ KARURVYSYA is trending upward, trading above key moving averages with positive RSI and MACD signals. Entry near ₹275–₹285 offers favorable risk-reward, while exits around ₹300–₹306 align with resistance. Sustained buying and a breakout above ₹306 would confirm continuation of the bullish trend, while failure to hold support could trigger consolidation.

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