SBFC - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.0
| Stock Code | SBFC | Market Cap | 9,317 Cr. | Current Price | 85.0 ₹ | High / Low | 123 ₹ |
| Stock P/E | 22.0 | Book Value | 31.3 ₹ | Dividend Yield | 0.00 % | ROCE | 11.6 % |
| ROE | 11.6 % | Face Value | 10.0 ₹ | DMA 50 | 102 ₹ | DMA 200 | 103 ₹ |
| Chg in FII Hold | -0.13 % | Chg in DII Hold | 1.32 % | PAT Qtr | 118 Cr. | PAT Prev Qtr | 109 Cr. |
| RSI | 25.8 | MACD | -4.58 | Volume | 10,91,783 | Avg Vol 1Wk | 1,24,06,087 |
| Low price | 79.2 ₹ | High price | 123 ₹ | PEG Ratio | 0.29 | Debt to equity | 1.80 |
| 52w Index | 13.1 % | Qtr Profit Var | 34.0 % | EPS | 3.87 ₹ | Industry PE | 18.9 |
📊 Chart & Trend Analysis: SBFC is trading at 85 ₹, well below its 50 DMA (102 ₹) and 200 DMA (103 ₹), indicating strong bearish pressure. RSI at 25.8 suggests the stock is oversold, while MACD at -4.58 confirms bearish momentum. Bollinger Bands show price hugging the lower band, signaling weakness but also potential for a technical rebound near support at 80–85 ₹.
📈 Momentum Signals: Current volume (10.9 lakh) is significantly lower than the 1-week average (124 lakh), reflecting weak participation. Oversold RSI may trigger a short-term bounce, but sustained recovery requires stronger volume and price action above 102–103 ₹.
🎯 Entry Zone: 80–85 ₹ (near support and oversold RSI)
🚪 Exit Zone: 100–110 ₹ (resistance near 50 DMA and 200 DMA)
📌 Trend Status: Bearish trend with consolidation signs. A reversal is possible if RSI rebounds and price sustains above 103 ₹ with volume confirmation.
Positive
- ROCE at 11.6% and ROE at 11.6% indicate moderate efficiency.
- DII holdings increased (+1.32%), showing strong domestic investor support.
- Quarterly PAT improved to 118 Cr. from 109 Cr., showing sequential growth.
- PEG ratio of 0.29 suggests undervaluation relative to growth.
Limitation
- Stock trading well below both 50 DMA and 200 DMA, signaling technical weakness.
- High debt-to-equity ratio of 1.80 indicates leverage risk.
- No dividend yield, reducing investor appeal.
- Low 52-week index at 13.1% shows poor relative performance.
Company Negative News
- FII holdings reduced (-0.13%), showing foreign investor caution.
- MACD indicates bearish crossover, limiting immediate upside.
Company Positive News
- Quarterly profit variation of +34% highlights strong earnings growth.
- EPS of 3.87 ₹ reflects profitability despite weak sentiment.
Industry
- Industry PE at 18.9 is lower than SBFC’s 22.0, suggesting sector peers are more reasonably valued.
- NBFC sector benefits from rising credit demand but faces risks from leverage and interest rate cycles.
Conclusion
⚖️ SBFC is in a bearish phase, trading below key moving averages with oversold RSI. Entry near 80–85 ₹ offers tactical opportunity, while exits around 100–110 ₹ align with resistance. Strong fundamentals like PAT growth, PEG ratio, and DII inflows support long-term potential, but high leverage and weak technicals warrant cautious positioning until a breakout above 103 ₹ confirms reversal.