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NAM-INDIA - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.3

Last Updated Time : 24 May 26, 10:27 pm

Technical Rating: 4.3

Stock Code NAM-INDIA Market Cap 69,318 Cr. Current Price 1,086 ₹ High / Low 1,125 ₹
Stock P/E 46.3 Book Value 69.3 ₹ Dividend Yield 1.98 % ROCE 45.2 %
ROE 35.5 % Face Value 10.0 ₹ DMA 50 996 ₹ DMA 200 890 ₹
Chg in FII Hold -0.55 % Chg in DII Hold 0.94 % PAT Qtr 383 Cr. PAT Prev Qtr 391 Cr.
RSI 57.6 MACD 33.8 Volume 9,06,896 Avg Vol 1Wk 10,66,545
Low price 712 ₹ High price 1,125 ₹ PEG Ratio 1.66 Debt to equity 0.01
52w Index 90.6 % Qtr Profit Var 29.4 % EPS 23.5 ₹ Industry PE 30.0

📊 Chart Analysis: NAM-INDIA is trading at ₹1,086, comfortably above its 50 DMA (₹996) and 200 DMA (₹890), confirming a strong bullish trend. RSI at 57.6 indicates neutral momentum, leaving room for further upside. MACD at 33.8 shows a positive crossover, reinforcing bullish sentiment. Bollinger Bands suggest moderate volatility, with price near the upper band. Current volume (9,06,896) is slightly below the 1-week average (10,66,545), hinting at mild consolidation.

📈 Momentum Signals: The stock shows short-term bullish momentum supported by moving averages and MACD. RSI is balanced, suggesting potential continuation without immediate overbought risk.

💹 Entry & Exit Zones:

  • Optimal Entry: ₹1,050–₹1,070 (support near 50 DMA)
  • 🚀 Target Exit: ₹1,120–₹1,140 (resistance near recent highs)
  • ⚠️ Stop Loss: ₹1,020 (below short-term support)

🔎 Trend Status: The stock is trending upward with strong support from moving averages, though short-term consolidation may occur near resistance.


Positive

  • 📌 Strong ROCE (45.2%) and ROE (35.5%) highlight efficient capital usage.
  • 📌 Low debt-to-equity ratio (0.01) ensures financial resilience.
  • 📌 EPS of ₹23.5 with quarterly profit variation of 29.4% shows earnings growth.

Limitation

  • ⚠️ High P/E ratio (46.3) compared to industry average (30.0) suggests overvaluation.
  • ⚠️ Quarterly PAT declined slightly (383 Cr vs 391 Cr).
  • ⚠️ FII holdings decreased (-0.55%), showing reduced foreign investor interest.

Company Negative News

  • 📉 Minor decline in quarterly profits raises growth concerns.
  • 📉 Elevated valuation could limit near-term upside potential.

Company Positive News

  • 📈 Dividend yield of 1.98% supports investor returns.
  • 📈 Technical indicators confirm bullish momentum.
  • 📈 DII holdings increased (+0.94%), reflecting domestic institutional confidence.

Industry

  • 🏦 Industry P/E at 30.0 shows NAM-INDIA trades at a premium.
  • 🏦 Asset management sector benefits from rising retail participation in equity markets.

Conclusion

✅ NAM-INDIA is in a strong uptrend, supported by moving averages, MACD, and institutional confidence. While high valuation and slight profit decline are cautionary, momentum remains positive. Traders may consider entry near ₹1,050–₹1,070 with exits around ₹1,120–₹1,140, while long-term investors should weigh valuation risks against strong ROE and ROCE.

If you’d like, I can prepare a peer comparison against other asset management companies or a sector outlook to put this performance in broader context.

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