MAHABANK - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | MAHABANK | Market Cap | 60,279 Cr. | Current Price | 78.4 ₹ | High / Low | 82.2 ₹ |
| Stock P/E | 8.59 | Book Value | 43.0 ₹ | Dividend Yield | 1.91 % | ROCE | 6.03 % |
| ROE | 22.8 % | Face Value | 10.0 ₹ | DMA 50 | 70.3 ₹ | DMA 200 | 62.8 ₹ |
| Chg in FII Hold | 0.63 % | Chg in DII Hold | 0.43 % | PAT Qtr | 2,014 Cr. | PAT Prev Qtr | 1,779 Cr. |
| RSI | 62.2 | MACD | 3.33 | Volume | 1,63,21,193 | Avg Vol 1Wk | 2,43,20,829 |
| Low price | 47.1 ₹ | High price | 82.2 ₹ | PEG Ratio | 0.22 | Debt to equity | 11.6 |
| 52w Index | 89.2 % | Qtr Profit Var | 34.9 % | EPS | 9.13 ₹ | Industry PE | 7.99 |
📈 MAHABANK is trading at ₹78.4, above both its 50 DMA (₹70.3) and 200 DMA (₹62.8), confirming strong bullish alignment. RSI at 62.2 indicates healthy momentum but nearing overbought territory. MACD at 3.33 supports bullish divergence. Bollinger Bands show price testing the upper band, suggesting breakout potential. Current volume (1,63,21,193) is below the 1-week average (2,43,20,829), showing reduced participation despite strength.
🔑 Short-term momentum signals: Support lies near ₹75–₹77, resistance around ₹81–₹82 (recent high). Entry zone is closer to ₹76–₹77 on pullbacks. Exit zone should be considered near ₹81–₹82. The stock is in a trending phase with bullish bias.
✅ Positive
- EPS of ₹9.13 provides strong earnings base.
- ROE at 22.8% highlights robust profitability.
- Dividend yield of 1.91% adds shareholder value.
- Quarterly PAT surged (₹2,014 Cr vs ₹1,779 Cr).
- PEG ratio of 0.22 highlights undervaluation relative to growth.
- FII (+0.63%) and DII (+0.43%) holdings increased, showing institutional confidence.
⚠️ Limitation
- ROCE relatively weak at 6.03%.
- Debt-to-equity ratio high at 11.6, typical for banks but adds leverage risk.
- RSI nearing overbought zone, limiting upside potential.
- Volume below average reduces conviction in breakout.
📉 Company Negative News
- High leverage compared to peers.
- Weak ROCE efficiency.
📊 Company Positive News
- Strong quarterly profit growth (+34.9%).
- Institutional inflows support sentiment.
- Technical strength above DMA levels.
🏭 Industry
- Industry P/E at 7.99 highlights sector trading at similar multiples.
- PSU banking sector remains resilient with improving profitability.
📝 Conclusion
MAHABANK is trending upward with strong bullish technical signals supported by earnings growth and institutional inflows. Entry near ₹76–₹77 offers favorable risk-reward, with exit around ₹81–₹82. Valuation remains attractive, but high leverage and RSI nearing overbought warrant cautious positioning.
Would you like me to extend this into a peer benchmarking overlay comparing MAHABANK against other PSU banks like Bank of Baroda and Canara Bank for relative strength and valuation?