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RHIM - Technical Analysis with Chart Patterns & Indicators

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Rating: 2.8

Last Updated Time : 19 Mar 26, 09:02 pm

Technical Rating: 2.8

Stock Code RHIM Market Cap 7,814 Cr. Current Price 379 ₹ High / Low 548 ₹
Stock P/E 40.5 Book Value 199 ₹ Dividend Yield 0.66 % ROCE 7.71 %
ROE 5.62 % Face Value 1.00 ₹ DMA 50 424 ₹ DMA 200 457 ₹
Chg in FII Hold -0.37 % Chg in DII Hold 0.39 % PAT Qtr 68.9 Cr. PAT Prev Qtr 41.3 Cr.
RSI 36.0 MACD -19.5 Volume 1,61,627 Avg Vol 1Wk 3,01,615
Low price 362 ₹ High price 548 ₹ PEG Ratio -6.95 Debt to equity 0.02
52w Index 9.19 % Qtr Profit Var 22.7 % EPS 9.35 ₹ Industry PE 32.5

📊 Chart Analysis: The stock is trading below both its 50 DMA (424 ₹) and 200 DMA (457 ₹), indicating a bearish trend. RSI at 36 suggests the stock is approaching oversold territory, while MACD at -19.5 confirms negative momentum. Bollinger Bands show price leaning towards the lower band, reflecting weakness. Volume is below average (1,61,627 vs 3,01,615), signaling reduced participation.

📈 Momentum Signals: Short-term momentum is weak with bearish signals. RSI near 30 could trigger a technical rebound, but MACD divergence remains negative.

💰 Entry Zone: 362 ₹ – 370 ₹ (near support levels).

📉 Exit Zone: 420 ₹ – 430 ₹ (resistance near 50 DMA).

🔎 Trend Status: The stock is consolidating with bearish bias, showing signs of possible reversal only if volume picks up and RSI rebounds.


Positive

  • Strong quarterly PAT growth (68.9 Cr vs 41.3 Cr).
  • Low debt-to-equity ratio (0.02) ensures financial stability.
  • Industry PE (32.5) lower than stock PE (40.5), showing sector strength.

Limitation

  • High valuation with P/E of 40.5 compared to industry average.
  • Weak ROCE (7.71%) and ROE (5.62%) indicate inefficient capital usage.
  • Stock trading below both 50 DMA and 200 DMA, signaling weakness.

Company Negative News

  • Decline in FII holdings (-0.37%) shows reduced foreign investor confidence.
  • Stock has corrected significantly from 52-week high (548 ₹ to 379 ₹).

Company Positive News

  • DII holdings increased (+0.39%), showing domestic institutional support.
  • Quarterly profit variation of 22.7% reflects improving earnings momentum.

Industry

  • Sector PE at 32.5 indicates moderate valuation compared to broader market.
  • Industry growth outlook remains stable with demand recovery trends.

Conclusion

⚠️ RHIM is currently in a bearish consolidation phase. Entry is favorable near 362–370 ₹ support with cautious stop-loss. Exit should be considered near 420–430 ₹ resistance. Long-term investors may wait for confirmation of trend reversal above 50 DMA with stronger volume.

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