MGL - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.0
| Stock Code | MGL | Market Cap | 11,218 Cr. | Current Price | 1,136 ₹ | High / Low | 1,587 ₹ |
| Stock P/E | 11.6 | Book Value | 629 ₹ | Dividend Yield | 2.64 % | ROCE | 22.9 % |
| ROE | 17.7 % | Face Value | 10.0 ₹ | DMA 50 | 1,080 ₹ | DMA 200 | 1,174 ₹ |
| Chg in FII Hold | -0.76 % | Chg in DII Hold | 0.18 % | PAT Qtr | 202 Cr. | PAT Prev Qtr | 193 Cr. |
| RSI | 63.2 | MACD | 31.0 | Volume | 2,07,152 | Avg Vol 1Wk | 1,79,916 |
| Low price | 900 ₹ | High price | 1,587 ₹ | PEG Ratio | 0.65 | Debt to equity | 0.03 |
| 52w Index | 34.3 % | Qtr Profit Var | -10.4 % | EPS | 97.9 ₹ | Industry PE | 21.5 |
📊 Mahanagar Gas Ltd (MGL) is trading above its 50 DMA (₹1,080) but slightly below its 200 DMA (₹1,174), showing short-term strength with medium-term resistance. RSI at 63.2 reflects bullish momentum but nearing overbought territory, while MACD (31.0) confirms strong positive divergence. Bollinger Bands suggest price movement toward the upper band, indicating potential breakout attempts. Current volume (2.07 lakh) is above the 1-week average (1.79 lakh), highlighting strong participation.
💡 Optimal Entry: ₹1,120–₹1,135 (near 50 DMA support)
🚪 Exit if Holding: Profit-taking zone around ₹1,160–₹1,175; Stop-loss below ₹1,110
📈 Trend Status: Trending upward with bullish momentum
✅ Positive
- Trading above 50 DMA support
- Strong ROE (17.7%) and ROCE (22.9%)
- EPS of ₹97.9 supports earnings visibility
- DII holdings increased (+0.18%)
- Low debt-to-equity ratio (0.03)
⚠️ Limitation
- Stock trading close to 200 DMA resistance
- Quarterly profit variation negative (-10.4%)
- FII holdings decreased (-0.76%)
- RSI nearing overbought zone (63.2)
📉 Company Negative News
- Sequential profit decline despite strong fundamentals
- FII outflows indicating reduced foreign confidence
📈 Company Positive News
- Strong EPS and valuation comfort
- Support from domestic institutional investors
- Stable fundamentals with low leverage
🏭 Industry
- Gas distribution sector average PE is 21.5, making MGL attractively valued (P/E 11.6)
- Sector outlook remains strong with steady demand growth
🔎 Conclusion
MGL is trending upward with strong fundamentals and bullish short-term signals. Entry near ₹1,120–₹1,135 offers a favorable risk-reward setup, while exits should be considered around ₹1,160–₹1,175. Suitable for swing trades, but traders should monitor resistance at 200 DMA and profit variation trends.