NAM-INDIA - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:55 pm

Technical Rating: 3.9

📊 Chart Patterns: NAM-INDIA is trading at 888 ₹, comfortably above both its 50 DMA (859 ₹) and 200 DMA (792 ₹). The chart shows a strong uptrend with higher highs, though resistance is visible near 987 ₹ (52-week high).

📈 Moving Averages: Price is above both short- and long-term averages, confirming bullish sentiment. Sustaining above 859 ₹ strengthens the trend.

📉 RSI: At 65.0, RSI is approaching overbought territory, suggesting caution for new entries but still supportive of bullish momentum.

📈 MACD: Positive (1.36), showing bullish crossover and continuation of upward momentum.

📊 Bollinger Bands: Price is near the upper band, indicating strength but also potential short-term resistance.

📊 Volume Trends: Current volume (88.1 lakh) is significantly higher than average weekly volume (26.5 lakh), showing strong participation and buying interest.

📍 Momentum Signals: Short-term momentum is bullish with potential continuation, though RSI suggests possible near-term consolidation.

🎯 Entry Zone: 860–880 ₹ (near DMA 50 support). Good accumulation zone for traders.

🎯 Exit Zone: 970–990 ₹ (near 52-week high resistance). Profit booking advised around 987 ₹.

🔎 Trend Status: The stock is trending upward strongly, with minor consolidation possible near resistance.

Positive

• Strong ROCE (41.6%) and ROE (32.0%) indicate excellent efficiency.
• Low debt-to-equity ratio (0.02) ensures financial stability.
• Dividend yield of 2.03% provides steady returns.
• EPS of 20.7 ₹ supports valuation strength.
• FII holdings increased (+0.06%).

Limitation

• High P/E (43.1) compared to industry average (28.5), indicating premium valuation.
• PEG ratio (2.08) suggests limited growth prospects relative to valuation.
• RSI near overbought levels (65.0), suggesting caution for new entries.
• DII holdings declined (-0.50%).

Company Negative News

• Quarterly PAT declined slightly (338 Cr. vs 385 Cr.).
• DII holdings decreased (-0.50%).

Company Positive News

• FII holdings increased (+0.06%).
• Dividend yield of 2.03% supports investor confidence.
• Strong efficiency metrics (ROCE 41.6%, ROE 32.0%).

Industry

• Industry PE is 28.5, lower than NAM-INDIA’s 43.1, highlighting premium valuation.
• Asset management sector remains growth-oriented, supported by rising retail participation in financial markets.

Conclusion

✅ NAM-INDIA is in a bullish trend, trading above key moving averages with strong fundamentals. Efficiency metrics, low debt, and dividend yield strengthen investor confidence. Traders may enter near 860–880 ₹ and exit around 970–990 ₹. Long-term investors can hold for continued strength, but should monitor valuation and quarterly profit trends.