⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
SAPPHIRE - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 2.5
| Stock Code | SAPPHIRE | Market Cap | 5,811 Cr. | Current Price | 181 ₹ | High / Low | 368 ₹ |
| Book Value | 38.3 ₹ | Dividend Yield | 0.00 % | ROCE | 2.98 % | ROE | -2.01 % |
| Face Value | 2.00 ₹ | DMA 50 | 182 ₹ | DMA 200 | 228 ₹ | Chg in FII Hold | -0.24 % |
| Chg in DII Hold | -0.05 % | PAT Qtr | -4.55 Cr. | PAT Prev Qtr | 0.22 Cr. | RSI | 50.5 |
| MACD | 1.05 | Volume | 21,60,999 | Avg Vol 1Wk | 14,62,790 | Low price | 140 ₹ |
| High price | 368 ₹ | Debt to equity | 1.08 | 52w Index | 18.0 % | Qtr Profit Var | -2,168 % |
| EPS | -1.51 ₹ | Industry PE | 69.2 |
📈 Chart & Trend Analysis
- Moving Averages: Current price (₹181) is below 200 DMA (₹228) but near 50 DMA (₹182), showing weak momentum and overhead resistance.
- RSI: At 50.5, the stock is neutral, neither overbought nor oversold.
- MACD: Slightly positive (1.05), suggesting mild bullish bias but not strong enough for breakout.
- Bollinger Bands: Price is near the mid-band, indicating consolidation.
- Volume Trends: Current volume (21,60,999) is above 1-week average (14,62,790), showing increased participation.
📊 Momentum & Signals
- Short-term momentum: Neutral to weak, with limited bullish signals.
- Support Zone: ₹175 – ₹180 (near-term support).
- Resistance Zone: ₹185 – ₹190 (psychological barrier and near 50 DMA).
- Entry Zone: ₹176 – ₹181 (near support, cautious entry).
- Exit Zone: ₹185 – ₹190 (resistance levels).
📉 Trend Status
The stock is currently in a consolidation phase with neutral RSI and weak MACD. Sustained move above ₹190 could signal reversal, while failure to hold ₹175 may trigger further downside.
✅ Positive
- Book value at ₹38.3 provides some valuation support.
- 52-week index gain of 18% shows moderate investor confidence.
- Volume strength indicates active trading interest.
⚠️ Limitation
- Weak ROCE (2.98%) and negative ROE (-2.01%), showing poor efficiency.
- No dividend yield (0.00%), limiting income appeal.
- Debt-to-equity ratio at 1.08, indicating leverage risk.
📰 Company Negative News
- PAT turned negative (₹-4.55 Cr vs ₹0.22 Cr previous quarter), reflecting financial stress.
- Decline in both FII (-0.24%) and DII (-0.05%) holdings, showing reduced institutional confidence.
🌟 Company Positive News
- Strong trading volume above average, suggesting market activity.
- Stock has held above ₹175 support despite weak fundamentals.
🏦 Industry
- Industry PE at 69.2, much higher than Sapphire’s implied valuation, suggesting sector peers are priced richly.
- Consumer services sector remains volatile with demand fluctuations impacting profitability.
📌 Conclusion
SAPPHIRE is in a consolidation phase with weak fundamentals and neutral technical signals. Entry near ₹176 – ₹181 with exit around ₹185 – ₹190 is suitable for short-term traders. Long-term investors should remain cautious due to negative earnings, high debt, and poor efficiency metrics.