NYKAA - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 2.9
| Stock Code | NYKAA | Market Cap | 75,438 Cr. | Current Price | 263 ₹ | High / Low | 286 ₹ |
| Stock P/E | 843 | Book Value | 6.30 ₹ | Dividend Yield | 0.00 % | ROCE | 6.77 % |
| ROE | 5.17 % | Face Value | 1.00 ₹ | DMA 50 | 264 ₹ | DMA 200 | 248 ₹ |
| Chg in FII Hold | 0.25 % | Chg in DII Hold | -0.01 % | PAT Qtr | 41.0 Cr. | PAT Prev Qtr | 23.3 Cr. |
| RSI | 45.4 | MACD | 2.15 | Volume | 63,80,679 | Avg Vol 1Wk | 1,26,29,817 |
| Low price | 191 ₹ | High price | 286 ₹ | PEG Ratio | 52.1 | Debt to equity | 0.12 |
| 52w Index | 76.4 % | Qtr Profit Var | 181 % | EPS | 0.31 ₹ | Industry PE | 41.4 |
Chart & Trend Analysis:
NYKAA is trading at ₹263, near its 50 DMA (₹264) and above its 200 DMA (₹248), showing short-term support but weak momentum. RSI at 45.4 indicates neutral-to-bearish sentiment. MACD at 2.15 is mildly positive, suggesting limited upside. Bollinger Bands are moderately wide, reflecting consolidation. Current volume (63.8L) is lower than the weekly average (1.26 Cr), showing reduced participation.
Momentum Signals:
- RSI below 50 signals weak momentum.
- MACD positive but shallow, indicating fragile bullishness.
- Resistance zones: ₹270–275 (near-term), ₹285–286 (recent high).
- Support zones: ₹255 immediate, deeper support at ₹248 (200 DMA).
- Trend status: Consolidating with mild bullish bias; reversal unlikely unless price sustains above ₹270.
Entry Zone: ₹255–260 (risk-managed accumulation)
Exit Zone: ₹270–285 (profit booking zone)
Stop-Loss: Below ₹248
Positive
- Quarterly PAT improved to ₹41 Cr from ₹23.3 Cr (+181%).
- Price trading above 200 DMA shows medium-term support.
- FII holdings increased (+0.25%), reflecting foreign investor optimism.
Limitation
- Extremely high P/E (843) compared to industry average (41.4), indicating severe overvaluation.
- EPS at ₹0.31 remains very low relative to valuation.
- PEG ratio at 52.1 suggests unsustainable growth expectations.
- Volume participation below average, limiting momentum confirmation.
Company Negative News
- DII holdings declined (-0.01%), showing reduced domestic institutional support.
- Valuation multiples remain stretched despite earnings improvement.
Company Positive News
- Quarterly profit growth highlights operational improvement.
- FII inflows reflect continued foreign investor confidence.
Industry
- Industry PE at 41.4 is far lower than NYKAA’s P/E, suggesting extreme premium valuation.
- E-commerce and retail sector remains competitive with margin pressures.
Conclusion
NYKAA is consolidating near support levels with weak RSI and shallow MACD signals. Entry near ₹255–260 offers limited upside, with exits around ₹270–285. Fundamentals remain weak with excessive valuation and low EPS, making it suitable only for short-term momentum trades with strict stop-loss discipline.
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