RCF - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | RCF | Market Cap | 7,484 Cr. | Current Price | 136 ₹ | High / Low | 167 ₹ |
| Stock P/E | 24.2 | Book Value | 89.3 ₹ | Dividend Yield | 0.97 % | ROCE | 7.47 % |
| ROE | 5.00 % | Face Value | 10.0 ₹ | DMA 50 | 140 ₹ | DMA 200 | 147 ₹ |
| Chg in FII Hold | 0.19 % | Chg in DII Hold | 0.08 % | PAT Qtr | 106 Cr. | PAT Prev Qtr | 54.1 Cr. |
| RSI | 47.6 | MACD | -2.07 | Volume | 46,58,976 | Avg Vol 1Wk | 22,93,437 |
| Low price | 108 ₹ | High price | 167 ₹ | PEG Ratio | -0.89 | Debt to equity | 0.56 |
| 52w Index | 47.3 % | Qtr Profit Var | 34.5 % | EPS | 5.66 ₹ | Industry PE | 18.4 |
📊 Chart & Trend Analysis: RCF is trading at 136 ₹, below both its 50 DMA (140 ₹) and 200 DMA (147 ₹), indicating short-term weakness and medium-term bearish bias. RSI at 47.6 suggests neutral momentum, while MACD at -2.07 confirms mild bearish crossover. Bollinger Bands show price hovering near the mid-lower band, signaling consolidation with limited upside unless volume improves.
📈 Momentum Signals: Current volume (46.6 lakh) is significantly higher than the 1-week average (22.9 lakh), reflecting strong participation despite weak momentum. RSI near neutral levels suggests balanced momentum. Sustained price action above 140–147 ₹ could trigger a move towards 160–167 ₹.
🎯 Entry Zone: 130–136 ₹ (near support and neutral RSI)
🚪 Exit Zone: 155–165 ₹ (resistance near 200 DMA and recent highs)
📌 Trend Status: Consolidating with bearish bias. A reversal is possible if price sustains above 147 ₹ with strong volume confirmation.
Positive
- Quarterly PAT surged to 106 Cr. from 54.1 Cr., showing strong growth.
- EPS of 5.66 ₹ reflects profitability.
- Dividend yield of 0.97% provides income support.
- FII (+0.19%) and DII (+0.08%) holdings increased, showing institutional confidence.
Limitation
- Stock trading below both 50 DMA and 200 DMA, signaling technical weakness.
- High P/E of 24.2 compared to industry PE of 18.4, making valuation expensive.
- PEG ratio of -0.89 suggests poor growth-adjusted valuation.
- ROCE at 7.47% and ROE at 5.00% reflect modest efficiency.
Company Negative News
- MACD indicates bearish crossover, limiting immediate upside.
- Neutral RSI suggests lack of strong momentum.
Company Positive News
- Quarterly profit variation of +34.5% highlights earnings growth.
- Strong market cap of 7,484 Cr. reflects industry presence.
Industry
- Industry PE at 18.4 is lower than RCF’s 24.2, suggesting sector peers are more reasonably valued.
- Fertilizer and chemicals sector benefits from government support and agricultural demand cycles.
Conclusion
⚖️ RCF is consolidating with bearish bias, trading below key moving averages but supported by strong profit growth and institutional inflows. Entry near 130–136 ₹ offers tactical opportunity, while exits around 155–165 ₹ align with resistance. Despite earnings improvement, expensive valuation and weak technicals warrant cautious positioning until a breakout above 147 ₹ confirms reversal.