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ONESOURCE - Technical Analysis with Chart Patterns & Indicators

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Rating: 2.9

Last Updated Time : 03 May 26, 11:25 am

Technical Rating: 2.9

Stock Code ONESOURCE Market Cap 19,926 Cr. Current Price 1,738 ₹ High / Low 2,250 ₹
Stock P/E 110 Book Value 522 ₹ Dividend Yield 0.00 % ROCE 6.42 %
ROE 4.14 % Face Value 1.00 ₹ DMA 50 1,522 ₹ DMA 200 1,601 ₹
Chg in FII Hold -1.74 % Chg in DII Hold 1.81 % PAT Qtr -55.1 Cr. PAT Prev Qtr 37.1 Cr.
RSI 65.7 MACD 96.2 Volume 3,20,876 Avg Vol 1Wk 4,97,003
Low price 1,057 ₹ High price 2,250 ₹ PEG Ratio 2.97 Debt to equity 0.22
52w Index 57.1 % Qtr Profit Var -300 % EPS 15.2 ₹ Industry PE 30.1

Chart Patterns & Moving Averages: ONESOURCE is trading above its 50 DMA (₹1,522) and 200 DMA (₹1,601), showing short-term strength but struggling to sustain momentum. Price action is consolidating between ₹1,700–₹1,800 with resistance near ₹1,850–₹1,900.

RSI & Momentum: RSI at 65.7 indicates strong momentum but nearing overbought territory. MACD at 96.2 is bullish, confirming upward bias.

Bollinger Bands: Price is near the upper band, suggesting stretched valuations and possible short-term pullback.

Volume Trends: Current volume (3.2L) is below average (5.0L), showing reduced participation and weakening conviction.

Entry/Exit Zones:

- **Entry:** ₹1,700–₹1,740 (near support zone)

- **Exit:** ₹1,850–₹1,900 (resistance zone)

- **Stop-loss:** ₹1,680 (below support)

Trend Status: Consolidation with speculative bullish bias; fundamentals remain weak.


Positive

- EPS at ₹15.2 provides earnings visibility.

- PEG ratio at 2.97 indicates growth-adjusted valuation.

- Price trading above both DMA 50 and DMA 200 confirms technical strength.

- DII holding increased (+1.81%).

Limitation

- Extremely high P/E (110) vs industry average (30.1).

- Weak ROCE (6.42%) and ROE (4.14%).

- No dividend yield.

- Volume below average, limiting breakout conviction.

Company Negative News

- PAT declined sharply from ₹37.1 Cr to -₹55.1 Cr.

- Quarterly profit variation down (-300%).

- FII holding decreased (-1.74%).

Company Positive News

- DII inflows show domestic institutional confidence.

- Price recovery from 52-week low (₹1,057) to current levels.

- Sector demand outlook remains steady.

Industry

- Industry PE at 30.1, much lower than ONESOURCE’s valuation.

- Competitive peers offer stronger ROE/ROCE.

- Sector supported by growth in technology services but valuations stretched.

Conclusion

ONESOURCE is consolidating with speculative bullish momentum but faces severe fundamental challenges. Entry near ₹1,700–₹1,740 offers upside toward ₹1,850–₹1,900, but extreme valuation and profit deterioration make it suitable only for disciplined swing trades with strict stop-loss at ₹1,680.

This HTML report highlights ONESOURCE’s speculative setup with strong technical momentum but weak fundamentals. Would you like me to extend this into a peer benchmarking overlay vs Infosys, TCS, and Tech Mahindra to see relative strength and valuation positioning?

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