PRAJIND - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.2
| Stock Code | PRAJIND | Market Cap | 5,267 Cr. | Current Price | 286 ₹ | High / Low | 640 ₹ |
| Stock P/E | 29.9 | Book Value | 74.5 ₹ | Dividend Yield | 2.10 % | ROCE | 23.6 % |
| ROE | 18.2 % | Face Value | 2.00 ₹ | DMA 50 | 315 ₹ | DMA 200 | 403 ₹ |
| Chg in FII Hold | -0.21 % | Chg in DII Hold | -1.19 % | PAT Qtr | 41.7 Cr. | PAT Prev Qtr | 20.0 Cr. |
| RSI | 39.6 | MACD | -10.6 | Volume | 6,02,937 | Avg Vol 1Wk | 8,28,538 |
| Low price | 273 ₹ | High price | 640 ₹ | PEG Ratio | 1.41 | Debt to equity | 0.05 |
| 52w Index | 3.42 % | Qtr Profit Var | -28.0 % | EPS | 9.59 ₹ | Industry PE | 29.2 |
📊 Chart & Trend Analysis: PRAJIND is trading at 286 ₹, below both its 50 DMA (315 ₹) and 200 DMA (403 ₹), indicating weakness and a bearish bias. RSI at 39.6 suggests the stock is nearing oversold territory. MACD at -10.6 confirms negative momentum. Bollinger Bands show price leaning towards the lower band, signaling pressure but also potential for a rebound if support holds near 273 ₹.
📈 Momentum Signals: Current volume (6.0 lakh) is lower than the 1-week average (8.2 lakh), reflecting reduced participation. RSI near oversold levels may trigger a short-term bounce, but sustained recovery requires stronger volume and price action above 315 ₹.
🎯 Entry Zone: 275–290 ₹ (near support and oversold RSI)
🚪 Exit Zone: 310–330 ₹ (resistance near 50 DMA and upper trendline)
📌 Trend Status: Consolidating with bearish bias. A reversal is possible if RSI rebounds and price closes above 315 ₹ with volume confirmation.
Positive
- Strong ROCE at 23.6% and ROE at 18.2% indicate efficient capital use.
- Low debt-to-equity ratio of 0.05 shows financial stability.
- Dividend yield of 2.10% provides steady income for investors.
Limitation
- Stock trading below both 50 DMA and 200 DMA, signaling technical weakness.
- Volume trend declining, reducing breakout probability.
- 52-week index at 3.42% shows poor relative performance.
Company Negative News
- Quarterly profit variation of -28% indicates declining earnings momentum.
- FII (-0.21%) and DII (-1.19%) holdings reduced, showing institutional caution.
Company Positive News
- PAT improved to 41.7 Cr. from 20.0 Cr. sequentially, showing operational recovery.
- EPS of 9.59 ₹ reflects profitability despite recent weakness.
Industry
- Industry PE at 29.2 is aligned with PRAJIND’s 29.9, suggesting fair valuation.
- Industrial and bio-energy sector benefits from government focus on renewable energy and sustainability.
Conclusion
⚖️ PRAJIND is consolidating with bearish bias, trading below key moving averages but nearing oversold RSI levels. Entry near 275–290 ₹ offers tactical opportunity, while exits around 310–330 ₹ align with resistance. Strong fundamentals like ROCE, ROE, and low debt support long-term stability, but weak technicals and declining institutional interest warrant cautious positioning until a breakout above 315 ₹ confirms reversal.