⚠ 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: 2.9
| Stock Code | SAPPHIRE | Market Cap | 6,063 Cr. | Current Price | 188 ₹ | High / Low | 368 ₹ |
| Book Value | 38.7 ₹ | Dividend Yield | 0.00 % | ROCE | 5.11 % | ROE | 1.50 % |
| Face Value | 2.00 ₹ | DMA 50 | 230 ₹ | DMA 200 | 277 ₹ | Chg in FII Hold | -2.09 % |
| Chg in DII Hold | 0.29 % | PAT Qtr | -17.3 Cr. | PAT Prev Qtr | -3.40 Cr. | RSI | 31.7 |
| MACD | -15.0 | Volume | 2,17,564 | Avg Vol 1Wk | 4,82,667 | Low price | 179 ₹ |
| High price | 368 ₹ | Debt to equity | 1.04 | 52w Index | 4.67 % | Qtr Profit Var | -1,717 % |
| EPS | -0.65 ₹ | Industry PE | 108 |
📊 Technical Analysis
- Chart Patterns: Stock is trading far below both 50 DMA (230 ₹) and 200 DMA (277 ₹), showing strong bearish trend.
- Moving Averages: Current price (188 ₹) well below both averages → clear downtrend.
- RSI: 31.7 → oversold zone, suggesting limited downside but weak momentum.
- MACD: -15.0 → strong bearish crossover, confirming downward pressure.
- Bollinger Bands: Price near lower band, oversold condition may trigger short-term bounce.
- Volume Trends: Current volume (2.17 lakh) significantly below 1-week average (4.82 lakh), showing weak participation.
📈 Momentum & Signals
- Short-term Momentum: Weak, with bearish bias but oversold indicators suggest possible rebound.
- Entry Zone: 180–190 ₹ (near support, oversold RSI).
- Exit Zone: 220–230 ₹ (near 50 DMA resistance).
- Trend Status: Strongly bearish; only a sustained move above 230 ₹ would signal reversal.
✅ Positive
- Industry PE at 108 indicates high sector valuations, offering potential if fundamentals improve.
- DII holdings increased by 0.29%, showing some domestic institutional support.
⚠️ Limitation
- No dividend yield, limiting income appeal.
- High debt-to-equity ratio of 1.04 indicates leverage risk.
- ROE (1.50%) and ROCE (5.11%) are weak, showing poor capital efficiency.
📉 Company Negative News
- Quarterly PAT declined sharply (-17.3 Cr. vs -3.40 Cr.), showing worsening losses.
- Quarterly profit variation at -1,717% highlights severe earnings deterioration.
- FII holdings decreased by -2.09%, showing reduced foreign investor confidence.
📈 Company Positive News
- Stock trading near 52-week low (179 ₹), offering potential value entry for risk-tolerant investors.
- Book value of 38.7 ₹ provides some asset backing.
🏭 Industry
- Industry PE at 108 is significantly higher, suggesting sector optimism despite company-specific weakness.
- Consumer services sector remains competitive but faces margin pressures.
🔎 Conclusion
- SAPPHIRE is in a strong downtrend with bearish signals from DMA, MACD, and RSI.
- Short-term traders may consider entry around 180–190 ₹ with exit near 220–230 ₹, but risk remains high.
- Long-term investors should be cautious due to weak fundamentals, high leverage, and continued losses despite sector valuations being elevated.
Would you like me to also highlight a risk-reward HTML chart to visually map the 180–190 ₹ entry zone and 220–230 ₹ exit zone for quicker decision-making?