RHIM - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.3
| Stock Code | RHIM | Market Cap | 8,341 Cr. | Current Price | 404 ₹ | High / Low | 538 ₹ |
| Stock P/E | 43.2 | Book Value | 199 ₹ | Dividend Yield | 0.62 % | ROCE | 7.71 % |
| ROE | 5.62 % | Face Value | 1.00 ₹ | DMA 50 | 401 ₹ | DMA 200 | 440 ₹ |
| Chg in FII Hold | -0.26 % | Chg in DII Hold | 0.68 % | PAT Qtr | 68.9 Cr. | PAT Prev Qtr | 41.3 Cr. |
| RSI | 55.1 | MACD | 6.06 | Volume | 63,320 | Avg Vol 1Wk | 73,392 |
| Low price | 323 ₹ | High price | 538 ₹ | PEG Ratio | -7.42 | Debt to equity | 0.02 |
| 52w Index | 37.7 % | Qtr Profit Var | 22.7 % | EPS | 9.35 ₹ | Industry PE | 37.3 |
Chart & Trend Analysis:
RHIM is trading at ₹404, near its 50 DMA (₹401) but below the 200 DMA (₹440), showing short-term support but medium-term weakness. RSI at 55.1 indicates neutral momentum. MACD at 6.06 shows mild positive crossover. Bollinger Bands place price near the mid-band, reflecting consolidation. Volume (63,320) is below the 1-week average (73,392), suggesting weak participation.
Momentum Signals:
- Short-term momentum is neutral with mild bullish bias.
- Entry Zone: ₹390–₹395 (support near DMA 50).
- Exit Zone: ₹425–₹430 (resistance near DMA 200).
- Trend Status: Consolidating; awaiting breakout confirmation.
Positive
- Quarterly PAT growth of 22.7% (₹68.9 Cr vs ₹41.3 Cr).
- EPS of ₹9.35 provides valuation comfort.
- Low debt-to-equity ratio (0.02) ensures financial stability.
- DII inflows (+0.68%) show domestic institutional support.
Limitation
- P/E (43.2) is significantly above industry average (37.3), indicating premium valuation.
- Weak ROE (5.62%) and ROCE (7.71%) highlight poor efficiency.
- Negative PEG ratio (-7.42) reflects poor growth relative to valuation.
- Volume below average reduces conviction in price action.
Company Negative News
- Weak return ratios and premium valuation limit upside potential.
- Decline in FII holdings (-0.26%) shows reduced foreign confidence.
Company Positive News
- Quarterly profit growth supports earnings momentum.
- Low leverage provides balance sheet comfort.
- DII inflows reinforce domestic investor confidence.
Industry
- Industry P/E at 37.3 highlights RHIM’s premium valuation.
- Sector supported by industrial demand and infrastructure expansion.
Conclusion
RHIM shows moderate technical strength with support near ₹390–₹395 and resistance around ₹425–₹430. While fundamentals are weak with poor efficiency and premium valuation, earnings growth and low debt provide some support. Tactical entries near support with exits around resistance may suit short-term traders, while long-term investors should exercise caution until return ratios improve.