OLECTRA - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.6
| Stock Code | OLECTRA | Market Cap | 9,862 Cr. | Current Price | 1,201 ₹ | High / Low | 1,714 ₹ |
| Stock P/E | 67.3 | Book Value | 137 ₹ | Dividend Yield | 0.03 % | ROCE | 21.0 % |
| ROE | 14.2 % | Face Value | 4.00 ₹ | DMA 50 | 1,180 ₹ | DMA 200 | 1,216 ₹ |
| Chg in FII Hold | 0.21 % | Chg in DII Hold | -0.14 % | PAT Qtr | 47.1 Cr. | PAT Prev Qtr | 52.8 Cr. |
| RSI | 48.3 | MACD | 15.7 | Volume | 2,66,061 | Avg Vol 1Wk | 5,23,824 |
| Low price | 867 ₹ | High price | 1,714 ₹ | PEG Ratio | 1.21 | Debt to equity | 0.28 |
| 52w Index | 39.5 % | Qtr Profit Var | 1.75 % | EPS | 17.9 ₹ | Industry PE | 27.7 |
📊 Chart Analysis: OLECTRA trades at ₹1,201, slightly above its 50 DMA (₹1,180) but below the 200 DMA (₹1,216), showing short-term strength but long-term weakness. RSI at 48.3 is neutral, while MACD at 15.7 indicates a bullish crossover. Bollinger Bands suggest consolidation with moderate volatility. Current volume (2,66,061) is significantly below the weekly average (5,23,824), reflecting reduced participation.
📈 Momentum Signals: Short-term momentum is mildly positive, supported by price stability above the 50 DMA and a strong MACD signal. However, the inability to sustain above the 200 DMA signals long-term resistance.
💹 Entry & Exit Zones:
- ✅ Entry Zone: ₹1,180–₹1,210 (near 50 DMA support)
- 📉 Stop-Loss: ₹1,150 (below recent support)
- 🚀 Exit Zone: ₹1,240–₹1,260 (near 200 DMA resistance)
🔎 Trend Status: The stock is currently consolidating between ₹1,180–₹1,240. A breakout above ₹1,260 could trigger bullish momentum, while a drop below ₹1,150 may signal weakness.
Positive
- 📌 Strong ROCE (21.0%) and ROE (14.2%), reflecting efficient capital use.
- 📌 EPS at ₹17.9, showing solid earnings.
- 📌 Price above 50 DMA, indicating short-term strength.
- 📌 FII holding increased (+0.21%), showing foreign investor confidence.
Limitation
- ⚠️ High P/E ratio (67.3) compared to industry average (27.7), suggesting overvaluation.
- ⚠️ Dividend yield at 0.03%, offering negligible returns.
- ⚠️ Current volume significantly below average, showing weak participation.
Company Negative News
- ❌ PAT declined from ₹52.8 Cr. to ₹47.1 Cr., showing reduced profitability.
- ❌ DII holding decreased (-0.14%), reflecting weaker domestic institutional support.
Company Positive News
- ✅ Quarterly profit variation improved (+1.75%), showing operational stability.
- ✅ PEG ratio at 1.21, indicating growth potential relative to valuation.
Industry
- 🏭 Industry PE at 27.7, much lower than OLECTRA’s valuation, suggesting premium pricing.
- 🏭 EV and green mobility sector demand supported by government incentives and rising adoption trends in India.
Conclusion
📌 OLECTRA is consolidating with mild bullish signals but faces valuation concerns. Entry near ₹1,180–₹1,210 offers favorable risk-reward, with resistance at ₹1,240–₹1,260 as the next target. Long-term investors should be cautious due to high P/E and weak dividend yield, while short-term traders may benefit from momentum-driven moves in the EV sector.
Would you like me to extend this into a visual EV breakout chart to highlight support and resistance zones more clearly?