NATIONALUM - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.3
| Stock Code | NATIONALUM | Market Cap | 65,180 Cr. | Current Price | 354 ₹ | High / Low | 432 ₹ |
| Stock P/E | 10.6 | Book Value | 109 ₹ | Dividend Yield | 2.96 % | ROCE | 43.7 % |
| ROE | 32.6 % | Face Value | 5.00 ₹ | DMA 50 | 322 ₹ | DMA 200 | 249 ₹ |
| Chg in FII Hold | 3.45 % | Chg in DII Hold | -3.10 % | PAT Qtr | 1,601 Cr. | PAT Prev Qtr | 1,433 Cr. |
| RSI | 51.0 | MACD | 22.2 | Volume | 4,21,14,669 | Avg Vol 1Wk | 3,38,48,548 |
| Low price | 138 ₹ | High price | 432 ₹ | PEG Ratio | 0.49 | Debt to equity | 0.00 |
| 52w Index | 73.7 % | Qtr Profit Var | 1.14 % | EPS | 33.6 ₹ | Industry PE | 28.8 |
📊 Chart & Trend Analysis:
NATIONALUM is trading at ₹354, above both its 50 DMA (₹322) and 200 DMA (₹249), indicating strong bullish momentum. RSI at 51.0 suggests neutral-to-positive strength, not overbought. MACD at 22.2 shows a strong positive crossover, confirming upward bias. Bollinger Bands place price near the mid-to-upper range, reflecting steady bullish sentiment. Current volume (4.21 Cr.) is higher than the 1-week average (3.38 Cr.), showing strong participation and accumulation.
📈 Momentum Signals:
- RSI neutral, leaning bullish.
- MACD strongly positive, confirming upward momentum.
- Price above both 50 & 200 DMA supports bullish trend continuation.
- High volume indicates strong investor interest and conviction.
🎯 Optimal Entry & Exit Zones:
- Entry Zone: ₹345 – ₹355 (near 50 DMA support).
- Exit Zone: ₹420 – ₹430 (resistance near recent highs).
- Stop Loss: ₹335 (below short-term support).
📌 Trend Status: The stock is trending upward with strong bullish bias, supported by moving averages, MACD strength, and volume confirmation.
Positive
- Strong ROCE (43.7%) and ROE (32.6%) highlight excellent capital efficiency.
- Debt-free balance sheet (Debt-to-equity: 0.00) ensures financial stability.
- Dividend yield of 2.96% provides attractive income for investors.
- EPS of ₹33.6 reflects solid earnings base.
- FII holding increased (+3.45%), showing strong foreign investor confidence.
Limitation
- DII holding decreased (-3.10%), reflecting weaker domestic institutional support.
- Quarterly profit variation (+1.14%) is modest, showing limited earnings momentum.
- 52-week index at 73.7% indicates price is closer to highs, limiting immediate upside.
Company Negative News
- DII holding reduced, signaling weaker domestic institutional conviction.
- Quarterly profit growth slowed compared to previous momentum.
Company Positive News
- Quarterly PAT improved to ₹1,601 Cr. from ₹1,433 Cr., showing earnings growth.
- FII inflows indicate strong foreign investor confidence.
- Debt-free status and strong dividend yield support investor sentiment.
Industry
- Industry P/E at 28.8 is significantly higher than NATIONALUM’s P/E (10.6), suggesting undervaluation compared to peers.
- Metals and mining sector remains cyclical, influenced by global commodity demand and pricing trends.
Conclusion
⚖️ NATIONALUM is trending upward with strong bullish signals from MACD, moving averages, and volume. Fundamentals remain robust with high ROCE, ROE, debt-free status, and attractive dividend yield. While modest quarterly profit growth and reduced DII support are limitations, the stock remains undervalued compared to industry peers. Short-term traders may consider entry near ₹345–₹355 with exits around ₹420–₹430, while long-term investors can benefit from strong fundamentals and sectoral tailwinds.