RECLTD - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 3.6

📊 Technical Analysis Summary

• Trend Status: Reversing from uptrend
• Current Price: ₹375
• RSI (49.2): Neutral — no strong momentum
• MACD (0.10): Flat — trend indecisive
• Volume: Below average (62.3L vs 94.5L) — waning interest
• DMA 50/200: Price below both (₹378 & ₹407) — bearish signal
• Bollinger Bands: Price near mid-band — no breakout signal

📈 Entry & Exit Zones

• Support Levels: ₹365 / ₹349 / ₹330
• Resistance Levels: ₹385 / ₹407 / ₹430
• Optimal Entry: ₹365–₹375 (on dip near support)
• Exit Target: ₹407–₹430 (if momentum improves)

✅ Positive

• Low P/E (5.76) and PEG (0.36) — undervalued relative to growth
• High dividend yield (4.80%) — attractive for income investors
• ROE (21.5%) — strong shareholder return
• EPS of ₹65.1 — solid earnings base

⚠️ Limitation

• Price below key moving averages — weak technical setup
• MACD and RSI show lack of momentum
• High debt-to-equity ratio (6.24) — leverage risk

📉 Company Negative News

• FII holding declined by 1.19% — foreign investor caution
• 52-week performance up only 11.8% — underperformance vs peers

📈 Company Positive News

• DII holding increased by 0.35% — domestic investor support
• Quarterly PAT stable at ₹4,426 Cr — consistent profitability

🏢 Industry

• RECLTD operates in power finance — policy-driven and infrastructure-linked sector
• Industry P/E is 23.7 — RECLTD trades at a deep discount
• Sector benefits from energy transition and government-backed lending programs

🧾 Conclusion

• RECLTD is currently reversing with weak technical indicators and low momentum
• Entry near ₹365 may offer upside toward ₹430 if sentiment improves
• Valuation and yield are attractive — suitable for value and income investors with medium-term horizon