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PETRONET - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.9

Last Updated Time : 19 Mar 26, 08:58 pm

Technical Rating: 3.9

Stock Code PETRONET Market Cap 43,687 Cr. Current Price 291 ₹ High / Low 326 ₹
Stock P/E 12.2 Book Value 137 ₹ Dividend Yield 3.43 % ROCE 26.2 %
ROE 21.4 % Face Value 10.0 ₹ DMA 50 292 ₹ DMA 200 290 ₹
Chg in FII Hold -1.73 % Chg in DII Hold 1.80 % PAT Qtr 848 Cr. PAT Prev Qtr 806 Cr.
RSI 48.7 MACD -2.20 Volume 35,81,817 Avg Vol 1Wk 44,62,738
Low price 264 ₹ High price 326 ₹ PEG Ratio 2.37 Debt to equity 0.12
52w Index 44.1 % Qtr Profit Var -2.16 % EPS 23.8 ₹ Industry PE 14.4

📊 Technical Analysis

  • Chart Patterns: Stock is trading close to both 50-DMA (₹292) and 200-DMA (₹290), showing sideways consolidation.
  • Moving Averages: Current price ₹291 is almost aligned with both DMAs, indicating neutral trend.
  • RSI: 48.7 — neutral zone, neither overbought nor oversold.
  • MACD: -2.20 — slight bearish crossover, weak momentum.
  • Bollinger Bands: Price near mid-band, suggesting consolidation.
  • Volume Trends: Current volume (35.8L) below 1-week average (44.6L), showing reduced participation.

📈 Momentum & Signals

  • Short-term Momentum: Neutral to weak, consolidation phase.
  • Entry Zone: ₹264–₹291 (support levels).
  • Exit Zone: ₹292–₹326 (resistance levels).
  • Trend Status: Stock is consolidating with mild bearish bias.

✅ Positive

  • Strong ROCE (26.2%) and ROE (21.4%) indicate efficient capital use.
  • Low debt-to-equity (0.12), financially stable.
  • Dividend yield of 3.43% provides steady income.

⚠️ Limitation

  • PEG ratio of 2.37 suggests limited growth relative to valuation.
  • Quarterly profit variance -2.16% shows slight earnings decline.
  • MACD negative, momentum weak.

📰 Company Negative News

  • FII holdings decreased (-1.73%), showing reduced foreign investor confidence.
  • Quarterly PAT declined marginally (₹848 Cr vs ₹806 Cr previous quarter).

🌟 Company Positive News

  • DII holdings increased (+1.80%), showing domestic institutional support.
  • Stable EPS of ₹23.8 and strong cash generation.

🏭 Industry

  • Industry P/E at 14.4, slightly higher than company’s P/E (12.2), suggesting Petronet is undervalued relative to peers.
  • Energy sector remains resilient with steady demand outlook.

🔎 Conclusion

  • Stock is consolidating near support levels with neutral momentum.
  • Short-term traders may consider entry near ₹264–₹291 with exit around ₹292–₹326.
  • Medium-term investors may hold for dividend yield and undervaluation relative to industry peers.

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