LTIM - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.0
| Stock Code | LTIM | Market Cap | 1,80,124 Cr. | Current Price | 6,070 ₹ | High / Low | 6,430 ₹ |
| Stock P/E | 35.2 | Book Value | 758 ₹ | Dividend Yield | 1.07 % | ROCE | 27.6 % |
| ROE | 21.6 % | Face Value | 1.00 ₹ | DMA 50 | 6,001 ₹ | DMA 200 | 5,638 ₹ |
| Chg in FII Hold | 0.11 % | Chg in DII Hold | 0.23 % | PAT Qtr | 1,353 Cr. | PAT Prev Qtr | 1,386 Cr. |
| RSI | 51.3 | MACD | -23.8 | Volume | 1,75,058 | Avg Vol 1Wk | 2,06,789 |
| Low price | 3,802 ₹ | High price | 6,430 ₹ | PEG Ratio | 8.08 | Debt to equity | 0.10 |
| 52w Index | 86.3 % | Qtr Profit Var | 29.9 % | EPS | 158 ₹ | Industry PE | 23.9 |
📊 Chart Patterns & Trend: The stock is trading at ₹6,070, slightly above its 50 DMA (₹6,001) and well above the 200 DMA (₹5,638), reflecting strong medium-term bullish momentum. Price action is near its 52-week high of ₹6,430, suggesting consolidation before a potential breakout.
📈 Moving Averages: Current price above both 50 DMA and 200 DMA confirms bullish strength. Sustaining above ₹6,100–₹6,150 would support continuation toward new highs.
📉 RSI: At 51.3, RSI is neutral-to-positive, indicating balanced momentum with room for further upside.
📉 MACD: Negative at -23.8, showing mild bearish divergence. Trend remains cautious until MACD crosses upward, but price stability above DMAs offsets weakness.
📊 Bollinger Bands: Price is near the mid-band, suggesting consolidation. A move toward the upper band (~₹6,250–₹6,300) would signal bullish strength.
📊 Volume Trends: Current volume (1.75 Lakh) is slightly below average weekly volume (2.06 Lakh), showing moderate participation. Breakout strength requires higher volume confirmation.
🎯 Entry Zone: ₹6,000–₹6,080 (near support and 50 DMA).
🎯 Exit Zone: ₹6,250–₹6,350 (near resistance and upper Bollinger band).
📌 Trend Status: Consolidating with bullish bias. A breakout above ₹6,150–₹6,250 would confirm continuation toward new highs.
Positive
- Strong ROCE (27.6%) and ROE (21.6%) highlight excellent capital efficiency.
- Dividend yield of 1.07% provides steady income for investors.
- EPS at ₹158 remains robust compared to peers.
- Quarterly PAT of ₹1,353 Cr shows resilience despite slight sequential decline.
- Stock trading above both 50 DMA and 200 DMA confirms bullish momentum.
Limitation
- Stock P/E (35.2) is significantly higher than industry PE (23.9), indicating premium valuation.
- PEG ratio (8.08) suggests stretched valuation relative to growth.
- MACD remains negative, showing mild bearish divergence.
- Volume participation is below average, limiting breakout strength.
Company Negative News
- Quarterly PAT declined slightly to ₹1,353 Cr from ₹1,386 Cr, showing earnings pressure.
- FII holdings decreased (-0.11%), reflecting reduced foreign investor confidence.
Company Positive News
- DII holdings increased (+0.23%), showing strong domestic institutional support.
- Quarterly profit growth (+29.9%) compared to prior year indicates strong operational performance.
Industry
- Industry PE at 23.9 is lower than the stock’s P/E, suggesting sector trades at more reasonable valuations.
- LTIM trades at a premium but maintains strong fundamentals with high ROCE and ROE.
Conclusion
⚖️ LTIM is consolidating near its highs, trading above key moving averages with neutral RSI and mild MACD weakness. Entry near ₹6,000–₹6,080 offers favorable risk-reward, while exits around ₹6,250–₹6,350 align with resistance. Sustained buying and a move above ₹6,250 would confirm continuation toward bullish momentum and potential new highs.