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NAVA - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.6

Last Updated Time : 02 Feb 26, 09:51 am

Technical Rating: 3.6

Stock Code NAVA Market Cap 15,166 Cr. Current Price 534 ₹ High / Low 735 ₹
Stock P/E 34.0 Book Value 132 ₹ Dividend Yield 1.50 % ROCE 13.6 %
ROE 10.9 % Face Value 1.00 ₹ DMA 50 563 ₹ DMA 200 560 ₹
Chg in FII Hold -0.02 % Chg in DII Hold -0.08 % PAT Qtr 157 Cr. PAT Prev Qtr 141 Cr.
RSI 42.7 MACD -5.61 Volume 3,36,789 Avg Vol 1Wk 3,02,874
Low price 356 ₹ High price 735 ₹ PEG Ratio -87.2 Debt to equity 0.00
52w Index 47.0 % Qtr Profit Var 8.90 % EPS 15.6 ₹ Industry PE 25.6

📊 Chart & Trend Analysis:

NAVA is trading at ₹534, below both its 50 DMA (₹563) and 200 DMA (₹560), indicating short-term weakness. RSI at 42.7 suggests neutral-to-weak momentum, not yet oversold. MACD at -5.61 shows bearish crossover, signaling downward bias. Bollinger Bands place price near the lower-mid range, reflecting consolidation with bearish undertone. Current volume (3.36 lakh) is slightly above the 1-week average (3.02 lakh), showing moderate participation but no strong accumulation.

📈 Momentum Signals:

- RSI neutral, leaning bearish.

- MACD negative crossover confirms weakness.

- Price below both 50 & 200 DMA indicates bearish bias.

- Volume slightly above average, suggesting active but cautious trading.

🎯 Optimal Entry & Exit Zones:

- Entry Zone: ₹520 – ₹530 (near support levels).

- Exit Zone: ₹560 – ₹570 (resistance at 50 & 200 DMA).

- Stop Loss: ₹500 (below key support).

📌 Trend Status: The stock is consolidating with bearish bias, holding above long-term support but failing to break resistance levels.


Positive

  • Debt-free balance sheet (Debt-to-equity: 0.00) ensures financial stability.
  • Dividend yield of 1.50% provides steady income.
  • Quarterly PAT improved to ₹157 Cr. from ₹141 Cr., showing earnings growth (+8.9%).
  • EPS of ₹15.6 reflects consistent earnings base.

Limitation

  • Stock trading below both 50 DMA and 200 DMA reflects weak technical strength.
  • ROE (10.9%) and ROCE (13.6%) are modest compared to peers.
  • High P/E (34.0) compared to industry average (25.6) suggests overvaluation.
  • PEG ratio (-87.2) indicates poor growth prospects.

Company Negative News

  • FII holding decreased (-0.02%), showing reduced foreign investor confidence.
  • DII holding decreased (-0.08%), reflecting weaker domestic institutional support.

Company Positive News

  • Quarterly profit growth of 8.9% signals operational improvement.
  • Debt-free status and dividend yield support investor sentiment.

Industry

  • Industry P/E at 25.6 is lower than company’s P/E (34.0), suggesting NAVA is relatively expensive compared to peers.
  • Metals and energy sector remains cyclical, influenced by global commodity demand and pricing trends.

Conclusion

⚖️ NAVA is consolidating with bearish bias, trading below key moving averages and showing weak momentum. While fundamentals such as debt-free status and dividend yield provide positives, modest return ratios and stretched valuation limit upside. Short-term traders may consider entry near ₹520–₹530 with exits around ₹560–₹570, while long-term investors should wait for stronger earnings growth and valuation alignment before fresh accumulation.

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