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POWERGRID - Technical Analysis with Chart Patterns & Indicators

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Rating: 4

Last Updated Time : 19 Mar 26, 09:02 pm

Technical Rating: 4.0

Stock Code POWERGRID Market Cap 2,78,135 Cr. Current Price 299 ₹ High / Low 322 ₹
Stock P/E 17.7 Book Value 106 ₹ Dividend Yield 3.02 % ROCE 13.0 %
ROE 17.1 % Face Value 10.0 ₹ DMA 50 288 ₹ DMA 200 284 ₹
Chg in FII Hold -0.93 % Chg in DII Hold 0.86 % PAT Qtr 4,160 Cr. PAT Prev Qtr 3,555 Cr.
RSI 55.7 MACD 3.83 Volume 88,56,782 Avg Vol 1Wk 1,75,43,530
Low price 250 ₹ High price 322 ₹ PEG Ratio 7.14 Debt to equity 1.38
52w Index 67.7 % Qtr Profit Var 6.83 % EPS 16.9 ₹ Industry PE 17.9

📊 Technical Analysis

  • Trend: The stock is trending upward, supported by strong fundamentals and technical strength.
  • Moving Averages: Current price (₹299) is above both 50 DMA (₹288) and 200 DMA (₹284), confirming bullish bias.
  • RSI: 55.7 — moderately strong, not overbought, suggesting room for further upside.
  • MACD: 3.83 — positive crossover, indicating bullish momentum.
  • Bollinger Bands: Price is near the upper band, showing strength but caution for possible pullback.
  • Volume Trends: Current volume (88.5L) is lower than 1-week average (175L), suggesting reduced participation but still steady interest.

🎯 Entry & Exit Zones

  • Support: ₹290 – ₹295 (near 50 DMA)
  • Resistance: ₹320 – ₹322 (recent high)
  • Optimal Entry: Around ₹295 – ₹300 on dips.
  • Exit Zone: ₹320 – ₹322 for short-term traders.

✅ Positive

  • ROE of 17.1% indicates strong shareholder returns.
  • Dividend yield of 3.02% provides steady income.
  • Quarterly PAT growth (₹3,555 Cr → ₹4,160 Cr) shows consistent performance.
  • Stock trading above both 50 and 200 DMA, confirming bullish trend.

⚠️ Limitation

  • Debt-to-equity ratio of 1.38 indicates moderate leverage.
  • PEG ratio of 7.14 suggests expensive valuation relative to growth.

📉 Company Negative News

  • FII holding decreased by 0.93%, showing reduced foreign investor confidence.

📈 Company Positive News

  • DII holding increased by 0.86%, reflecting domestic institutional support.
  • Quarterly profit growth (+6.83%) highlights operational strength.

🏭 Industry

  • Industry PE is 17.9, close to PowerGrid’s 17.7, suggesting fair valuation.
  • Sector benefits from government-backed infrastructure and power transmission projects.

🔎 Conclusion

  • PowerGrid is trending upward with strong technical support and stable fundamentals.
  • Short-term traders can target ₹320 – ₹322, while long-term investors benefit from dividends and steady growth.
  • Moderate leverage and high PEG ratio are risks, but overall outlook remains positive.
  • Stock is in a trending phase with potential for further upside if volumes strengthen.

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