LATENTVIEW - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.5
| Stock Code | LATENTVIEW | Market Cap | 5,863 Cr. | Current Price | 284 ₹ | High / Low | 518 ₹ |
| Stock P/E | 62.4 | Book Value | 60.6 ₹ | Dividend Yield | 0.00 % | ROCE | 10.2 % |
| ROE | 6.63 % | Face Value | 1.00 ₹ | DMA 50 | 367 ₹ | DMA 200 | 415 ₹ |
| Chg in FII Hold | 1.55 % | Chg in DII Hold | 0.80 % | PAT Qtr | 31.0 Cr. | PAT Prev Qtr | 29.6 Cr. |
| RSI | 24.2 | MACD | -31.0 | Volume | 17,60,457 | Avg Vol 1Wk | 11,43,187 |
| Low price | 274 ₹ | High price | 518 ₹ | PEG Ratio | 567 | Debt to equity | 0.01 |
| 52w Index | 4.10 % | Qtr Profit Var | 40.7 % | EPS | 4.54 ₹ | Industry PE | 20.9 |
📈 Chart & Trend: The stock is trading well below both its 50 DMA (367 ₹) and 200 DMA (415 ₹), showing strong medium-term weakness. Current price (284 ₹) is near its 52-week low (274 ₹), reflecting bearish sentiment after a steep correction from 518 ₹.
📊 Momentum Indicators: RSI at 24.2 signals oversold conditions, suggesting potential for a short-term bounce. MACD at -31.0 confirms bearish bias. Bollinger Bands show price hugging the lower band, consistent with oversold consolidation.
🔎 Volume Trends: Current volume (17.6 lakh) is higher than the 1-week average (11.4 lakh), showing increased participation, likely driven by selling pressure.
💡 Entry Zone: 275–285 ₹ (near support at 274 ₹, oversold RSI offers tactical entry)
💡 Exit Zone: 350–370 ₹ (resistance near 367 ₹, 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
- Low debt-to-equity (0.01) indicates a very healthy balance sheet.
- EPS of 4.54 ₹ reflects steady profitability despite valuation concerns.
- Quarterly PAT growth (29.6 Cr → 31.0 Cr) shows earnings improvement.
- FII holding increased (+1.55%) and DII holding increased (+0.80%), showing institutional support.
Limitation
- Stock trading far below both 50 DMA and 200 DMA shows weak technical strength.
- High P/E (62.4) compared to industry P/E (20.9), making valuation expensive.
- PEG ratio (567) suggests growth is extremely overpriced relative to earnings.
- ROCE (10.2%) and ROE (6.63%) are relatively low compared to peers.
Company Negative News
- Stock corrected sharply from 518 ₹ to 284 ₹, eroding investor wealth.
- MACD negative and RSI oversold confirm weak momentum.
Company Positive News
- Quarterly profit growth (+40.7%) highlights operational improvement.
- Institutional inflows (FII +1.55%, DII +0.80%) show confidence despite price weakness.
Industry
- Industry P/E (20.9) is much lower than company P/E (62.4), suggesting sector peers trade at more reasonable valuations.
- 52-week industry index return of 4.10% shows weak sector momentum.
Conclusion
⚖️ Latent View Analytics is consolidating at oversold levels, trading far below key moving averages. Fundamentals like low debt and institutional inflows are supportive, but valuation is stretched and momentum indicators remain weak. Tactical strategy: accumulate near 275–285 ₹ with strict stop-loss below 274 ₹, and book profits around 350–370 ₹. Sustained recovery requires crossing 367–415 ₹ resistance zones.
Would you like me to extend this into a peer benchmarking overlay against other analytics and IT service companies? That would help clarify whether Latent View’s steep valuation premium is justified compared to sector peers.