NATCOPHARM - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.1
| Stock Code | NATCOPHARM | Market Cap | 20,991 Cr. | Current Price | 1,170 ₹ | High / Low | 1,227 ₹ |
| Stock P/E | 14.0 | Book Value | 462 ₹ | Dividend Yield | 0.51 % | ROCE | 31.8 % |
| ROE | 27.5 % | Face Value | 2.00 ₹ | DMA 50 | 1,083 ₹ | DMA 200 | 976 ₹ |
| Chg in FII Hold | 2.21 % | Chg in DII Hold | 0.07 % | PAT Qtr | 107 Cr. | PAT Prev Qtr | 501 Cr. |
| RSI | 58.1 | MACD | 28.8 | Volume | 2,44,406 | Avg Vol 1Wk | 4,90,812 |
| Low price | 789 ₹ | High price | 1,227 ₹ | PEG Ratio | 0.09 | Debt to equity | 0.03 |
| 52w Index | 87.1 % | Qtr Profit Var | -14.4 % | EPS | 83.8 ₹ | Industry PE | 30.5 |
📈 Chart & Trend: NATCOPHARM is trading at 1,170 ₹, above its 50 DMA (1,083 ₹) and 200 DMA (976 ₹), showing strong technical strength. Price is approaching resistance near 1,200–1,225 ₹, with support around 1,140–1,150 ₹.
🔎 Momentum Signals: RSI at 58.1 indicates healthy bullish momentum but not yet overbought. MACD at 28.8 reflects a strong positive crossover. Entry zone: 1,140–1,150 ₹. Exit zone: 1,200–1,225 ₹.
📊 Volume Trends: Current volume (2.44 Lakh) is below the 1-week average (4.91 Lakh), suggesting reduced participation and cautious sentiment despite bullish signals.
📉 Bollinger Bands: Bands are moderately wide, reflecting volatility expansion and trending momentum.
📌 Trend Status: The stock is in a short-term uptrend but facing resistance near recent highs.
Positive
- Strong ROCE (31.8%) and ROE (27.5%) highlight efficient capital use.
- PEG ratio of 0.09 indicates attractive valuation relative to growth.
- Debt-to-equity ratio of 0.03 shows a near debt-free balance sheet.
- Trading above both 50 DMA and 200 DMA confirms bullish technical strength.
Limitation
- Quarterly PAT dropped sharply (107 Cr. vs 501 Cr.), showing earnings volatility.
- Volume below average reflects weak investor conviction.
- Resistance near 1,200–1,225 ₹ may cap short-term upside.
Company Negative News
- Quarterly profit variation (-14.4%) highlights earnings pressure.
Company Positive News
- FII holdings increased (+2.21%), showing strong foreign investor confidence.
- DII holdings also improved slightly (+0.07%), adding domestic support.
Industry
- Industry PE at 30.5 indicates sector is moderately valued compared to NATCOPHARM’s lower P/E (14.0), making it attractive on valuation.
- Pharmaceutical sector continues to benefit from global demand and export opportunities.
Conclusion
NATCOPHARM is in a short-term uptrend, trading above key moving averages with strong momentum signals. Fundamentals remain attractive with low debt and efficient capital use, though earnings volatility and resistance near 1,200–1,225 ₹ limit immediate upside. Best suited for entry near 1,140–1,150 ₹ with profit booking around 1,200–1,225 ₹.
This places NATCOPHARM in a short-term uptrend with strong valuation appeal. To enrich this, I can extend into a sector overlay comparison or a peer benchmarking analysis to highlight its relative strength against other pharma peers.