M&M - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.2
| Stock Code | M&M | Market Cap | 3,87,925 Cr. | Current Price | 3,120 ₹ | High / Low | 3,840 ₹ |
| Stock P/E | 23.9 | Book Value | 598 ₹ | Dividend Yield | 0.81 % | ROCE | 31.1 % |
| ROE | 23.9 % | Face Value | 5.00 ₹ | DMA 50 | 3,186 ₹ | DMA 200 | 3,297 ₹ |
| Chg in FII Hold | -1.26 % | Chg in DII Hold | 0.98 % | PAT Qtr | 3,811 Cr. | PAT Prev Qtr | 4,288 Cr. |
| RSI | 47.8 | MACD | -17.8 | Volume | 16,58,960 | Avg Vol 1Wk | 21,83,386 |
| Low price | 2,896 ₹ | High price | 3,840 ₹ | PEG Ratio | 0.84 | Debt to equity | 0.02 |
| 52w Index | 23.7 % | Qtr Profit Var | 29.0 % | EPS | 126 ₹ | Industry PE | 28.6 |
📈 Chart & Momentum Analysis
- Current price (₹3,120) is below DMA 50 (₹3,186) and DMA 200 (₹3,297), showing short-term and medium-term weakness.
- RSI at 47.8 indicates neutral-to-weak momentum, leaning toward oversold territory.
- MACD at -17.8 is negative, signaling bearish bias.
- Bollinger Bands: Price near lower band, suggesting downside pressure.
- Volume (16.6L) is below average weekly volume (21.8L), showing weak participation.
🎯 Entry & Exit Zones
- Optimal entry: ₹3,050–₹3,100 (support near recent lows).
- Exit/Profit zone: ₹3,180–₹3,220 (resistance near DMA 50).
- Stop-loss: ₹3,000 (support zone).
📊 Trend Status
- The stock is consolidating with bearish undertone, struggling to regain strength above moving averages.
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Positive
✔ EPS at ₹126 reflects strong profitability.
✔ ROE (23.9%) and ROCE (31.1%) show excellent efficiency.
✔ PEG ratio at 0.84 indicates fair growth valuation.
✔ Debt-to-equity at 0.02 ensures balance sheet stability.
Limitation
⚠ Trading below DMA 50 & DMA 200.
⚠ RSI weak, MACD negative.
⚠ Volume tapering, showing lack of conviction.
⚠ Price capped below 52-week high (₹3,840).
Company Negative News
📉 PAT declined from ₹4,288 Cr. to ₹3,811 Cr.
📉 FII holding reduced (-1.26%).
Company Positive News
📈 DII holding increased (+0.98%).
📈 Dividend yield at 0.81% adds investor appeal.
📈 EPS strength supports valuation.
Industry
🚗 Auto sector PE at 28.6, M&M trades at a discount (PE 23.9).
🚗 Sector outlook remains positive with cyclical demand recovery.
Conclusion
🔎 M&M is consolidating with bearish undertone and weak momentum. Best strategy is cautious accumulation near ₹3,050–₹3,100 and profit booking around ₹3,180–₹3,220. A breakout above ₹3,220 would confirm bullish reversal toward ₹3,300+.
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