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NIVABUPA - Technical Analysis with Chart Patterns & Indicators

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Rating: 2.8

Last Updated Time : 03 May 26, 11:24 am

Technical Rating: 2.8

Stock Code NIVABUPA Market Cap 14,469 Cr. Current Price 78.3 ₹ High / Low 95.2 ₹
Book Value 20.6 ₹ Dividend Yield 0.00 % ROCE 7.45 % ROE 8.18 %
Face Value 10.0 ₹ DMA 50 75.3 ₹ DMA 200 76.9 ₹ Chg in FII Hold 0.29 %
Chg in DII Hold 0.45 % PAT Qtr -87.6 Cr. PAT Prev Qtr -35.3 Cr. RSI 58.5
MACD 1.42 Volume 4,41,410 Avg Vol 1Wk 8,55,186 Low price 67.5 ₹
High price 95.2 ₹ Debt to equity 0.07 52w Index 39.0 % Qtr Profit Var -762 %
EPS -0.03 ₹ Industry PE 31.7

📈 Chart & Trend: NIVABUPA is trading slightly above its 50 DMA (75.3 ₹) and 200 DMA (76.9 ₹), showing mild short-term strength but weak medium-term structure. RSI at 58.5 indicates neutral momentum, while MACD at 1.42 reflects a weak bullish crossover. Bollinger Bands are moderately tight, suggesting consolidation with limited upside. The stock is consolidating with weak bullish bias.

🔎 Momentum Signals: Entry zone is favorable near 74–76 ₹ support. Resistance lies at 82–84 ₹. A breakout above 84 ₹ could extend toward 88–90 ₹, while a breakdown below 74 ₹ risks reversal toward 70–72 ₹.

📊 Volume Trends: Current volume (4.4 lakh) is lower than the 1-week average (8.5 lakh), showing reduced participation. Stronger volumes are needed to sustain upward momentum.

Positive

  • Trading above both 50 DMA and 200 DMA confirms short-term strength.
  • Low debt-to-equity ratio (0.07) ensures financial stability.
  • Institutional inflows: FII (+0.29%) and DII (+0.45%) show marginal confidence.

Limitation

  • Negative EPS (−0.03 ₹) reflects poor profitability.
  • Weak ROE (8.18%) and ROCE (7.45%) compared to peers.
  • No dividend yield, limiting shareholder returns.

Company Negative News

  • PAT worsened from −35.3 Cr. to −87.6 Cr., showing deepening losses.
  • Quarterly profit variation at −762% highlights severe earnings weakness.

Company Positive News

  • Marginal increase in institutional holdings supports sentiment.
  • Price trading above DMA levels, offering technical support.

Industry

  • Industry PE at 31.7 highlights NIVABUPA trades at a discount due to negative earnings.
  • Insurance sector outlook remains stable, supported by long-term demand drivers.

Conclusion

⚖️ NIVABUPA is consolidating with weak bullish signals supported by price above averages and minor institutional inflows. Entry near 74–76 ₹ offers limited risk-reward, while resistance lies at 82–84 ₹. Persistent losses, weak fundamentals, and low volume participation are key risks. A breakout above 84 ₹ with strong volumes could trigger momentum toward 88–90 ₹, but caution is advised.

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