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PPLPHARMA - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.5

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

Technical Rating: 3.5

Stock Code PPLPHARMA Market Cap 19,021 Cr. Current Price 143 ₹ High / Low 241 ₹
Stock P/E 25.8 Book Value 58.2 ₹ Dividend Yield 0.10 % ROCE 12.4 %
ROE 9.74 % Face Value 10.0 ₹ DMA 50 159 ₹ DMA 200 181 ₹
Chg in FII Hold -0.61 % Chg in DII Hold 0.79 % PAT Qtr 151 Cr. PAT Prev Qtr 196 Cr.
RSI 35.1 MACD -5.42 Volume 29,93,700 Avg Vol 1Wk 46,37,699
Low price 135 ₹ High price 241 ₹ PEG Ratio 1.16 Debt to equity 0.12
52w Index 8.04 % Qtr Profit Var 27.4 % EPS 5.39 ₹ Industry PE 27.6

📊 Technical Analysis

  • Chart Patterns: Stock is trading below both 50-DMA (₹159) and 200-DMA (₹181), showing weakness and downtrend continuation.
  • Moving Averages: Current price ₹143 is under both DMAs, confirming bearish bias.
  • RSI: 35.1 — oversold territory, potential for short-term bounce.
  • MACD: -5.42 — bearish crossover, momentum weak.
  • Bollinger Bands: Price near lower band, suggesting possible mean reversion.
  • Volume Trends: Current volume (29.9L) below 1-week average (46.3L), showing reduced participation.

📈 Momentum & Signals

  • Short-term Momentum: Weak, oversold RSI may trigger bounce.
  • Entry Zone: ₹135–₹143 (support levels).
  • Exit Zone: ₹159–₹181 (resistance levels).
  • Trend Status: Stock is consolidating with bearish bias.

✅ Positive

  • PEG ratio of 1.16 suggests fair valuation relative to growth.
  • Low debt-to-equity (0.12), financially stable.
  • DII holdings increased (+0.79%), showing domestic institutional support.

⚠️ Limitation

  • Weak ROCE (12.4%) and ROE (9.74%), showing limited efficiency.
  • High volatility with sharp decline from 52-week high (₹241).
  • Technical momentum weak below moving averages.

📰 Company Negative News

  • Quarterly PAT dropped (₹151 Cr vs ₹196 Cr previous quarter).
  • FII holdings decreased (-0.61%), showing reduced foreign investor confidence.

🌟 Company Positive News

  • Quarterly profit variance +27.4% YoY indicates growth momentum.
  • DII stake increased, showing domestic institutional support.

🏭 Industry

  • Industry P/E at 27.6, slightly higher than company’s P/E (25.8), suggesting PPL Pharma is fairly valued relative to peers.
  • Pharmaceutical sector remains resilient with steady demand outlook.

🔎 Conclusion

  • Stock is consolidating near support with weak momentum.
  • Short-term traders may consider entry near ₹135–₹143 with exit around ₹159–₹181.
  • Medium-term investors should be cautious due to weak efficiency metrics despite fair valuation.

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