NIVABUPA - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.3
| Stock Code | NIVABUPA | Market Cap | 13,239 Cr. | Current Price | 71.6 ₹ | High / Low | 95.2 ₹ |
| Book Value | 20.6 ₹ | Dividend Yield | 0.00 % | ROCE | 7.45 % | ROE | 8.18 % |
| Face Value | 10.0 ₹ | DMA 50 | 74.9 ₹ | DMA 200 | 77.5 ₹ | Chg in FII Hold | -0.41 % |
| Chg in DII Hold | 0.73 % | PAT Qtr | -87.6 Cr. | PAT Prev Qtr | -35.3 Cr. | RSI | 39.2 |
| MACD | -1.46 | Volume | 26,12,947 | Avg Vol 1Wk | 60,13,904 | Low price | 61.0 ₹ |
| High price | 95.2 ₹ | Debt to equity | 0.07 | 52w Index | 30.9 % | Qtr Profit Var | -762 % |
| EPS | -0.03 ₹ | Industry PE | 33.4 |
📉 Chart & Trend: NIVABUPA is trading at ₹71.6, below both 50 DMA (₹74.9) and 200 DMA (₹77.5), confirming a bearish setup. RSI at 39.2 shows weak momentum, nearing oversold territory. MACD at -1.46 indicates negative crossover. Bollinger Bands suggest price is near the lower band, reflecting weakness with potential for a short-term rebound.
📊 Volume: Current volume (26.1 L) is significantly lower than the 1-week average (60.1 L), showing reduced participation and lack of strong buying interest.
📈 Momentum Signals: Short-term momentum remains negative. Support levels are seen at ₹70–₹71 and strong support at ₹61 (52-week low). Resistance lies at ₹75–₹78 (DMA cluster) and ₹95.2 (recent high).
🎯 Entry Zone: ₹70–₹71 (risk-managed entry zone).
🚪 Exit Zone: ₹75–₹78 (profit-taking zone near resistance).
🔎 Trend Status: Bearish consolidation. The stock is consolidating below key moving averages, struggling to regain momentum, and remains under pressure.
Positive
- Book value of ₹20.6 provides valuation cushion relative to current price.
- Debt-to-equity ratio of 0.07 indicates low leverage.
- DII holding increased by 0.73%, showing domestic institutional support.
Limitation
- Negative EPS (-₹0.03) reflects losses.
- ROCE (7.45%) and ROE (8.18%) are modest compared to peers.
- Price trading below both 50 DMA and 200 DMA reflects technical weakness.
- Dividend yield is 0.00%, limiting investor appeal.
Company Negative News
- PAT worsened to -₹87.6 Cr from -₹35.3 Cr, showing deepening losses.
- FII holding reduced by -0.41%, reflecting weaker foreign investor sentiment.
- Quarterly profit variation at -762% highlights severe earnings deterioration.
Company Positive News
- DII inflows (+0.73%) show confidence from domestic institutions.
- Low debt-to-equity ratio supports financial stability despite losses.
Industry
- Industry PE at 33.4 highlights sector valuations are higher, but company losses prevent meaningful comparison.
- Insurance and healthcare services sector benefits from rising demand but faces regulatory and profitability challenges.
Conclusion
⚠️ NIVABUPA is in a bearish consolidation phase, trading below key moving averages with weak RSI and negative MACD. Fundamentals show valuation cushion via book value and low leverage, but persistent losses, poor efficiency, and declining profits limit upside. Short-term traders may consider entries near ₹70–₹71 with exits around ₹75–₹78, while long-term investors should avoid fresh accumulation until profitability improves and technical strength returns.
Would you like me to extend this into a peer benchmarking overlay against other insurance and healthcare service companies like Star Health, ICICI Lombard, and HDFC Life? That would highlight whether NIVABUPA’s weakness is sector-driven or company-specific.