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SCHAEFFLER - Technical Analysis with Chart Patterns & Indicators

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Rating: 4

Last Updated Time : 03 May 26, 11:25 am

Technical Rating: 4.0

Stock Code SCHAEFFLER Market Cap 64,472 Cr. Current Price 4,125 ₹ High / Low 4,468 ₹
Stock P/E 51.6 Book Value 393 ₹ Dividend Yield 0.85 % ROCE 27.9 %
ROE 20.8 % Face Value 2.00 ₹ DMA 50 4,026 ₹ DMA 200 3,924 ₹
Chg in FII Hold -0.20 % Chg in DII Hold 0.21 % PAT Qtr 320 Cr. PAT Prev Qtr 328 Cr.
RSI 51.8 MACD 85.1 Volume 3,17,383 Avg Vol 1Wk 1,73,270
Low price 3,403 ₹ High price 4,468 ₹ PEG Ratio 4.55 Debt to equity 0.01
52w Index 67.8 % Qtr Profit Var 20.5 % EPS 80.0 ₹ Industry PE 27.3

📊 Chart & Indicators: SCHAEFFLER is trading at ₹4,125, above both 50 DMA (₹4,026) and 200 DMA (₹3,924), confirming strong bullish momentum. RSI at 51.8 indicates neutral-to-positive strength, while MACD at 85.1 shows strong positive momentum. Price is consolidating between support (~₹4,080–₹4,100) and resistance (~₹4,400–₹4,450). Volume (3.17L) is above weekly average (1.73L), confirming strong participation.

🎯 Entry/Exit Zones:

- Buy Zone: ₹4,080–₹4,120 (near support)

- Stop-Loss: ₹4,050

- Exit Levels: ₹4,400–₹4,450 (short-term resistance), ₹4,460–₹4,470 (major resistance near 52-week high)

📈 Trend Status: Strong uptrend with consolidation; price above moving averages, RSI neutral, and MACD highly positive. Momentum remains bullish with potential breakout if volume sustains.

✅ Positive

  • Price above both 50 DMA and 200 DMA, confirming uptrend
  • Strong ROCE (27.9%) and ROE (20.8%)
  • EPS at ₹80.0 supports earnings strength
  • DII holdings increased (+0.21%)
  • 52-week index gain of 67.8%

⚠️ Limitation

  • High P/E of 51.6 vs Industry PE 27.3 → stretched valuation
  • PEG ratio at 4.55 indicates expensive growth valuation
  • Quarterly PAT declined slightly (₹328 Cr → ₹320 Cr)
  • FII holdings reduced (-0.20%)

📉 Company Negative News

  • Valuation significantly above industry average
  • Minor profit decline quarter-on-quarter
  • FII outflows impacting sentiment

📊 Company Positive News

  • Strong fundamentals with high ROCE and ROE
  • Dividend yield at 0.85% provides investor support
  • Volume surge confirms strong market interest

🏦 Industry

  • Industry PE at 27.3, much lower than SCHAEFFLER
  • Auto ancillary sector demand remains strong
  • Global recovery supporting sector growth

📝 Conclusion

SCHAEFFLER is in a strong uptrend with bullish technicals, supported by price above moving averages, positive MACD, and strong volume. However, stretched valuations and slight profit decline warrant caution. Best suited for swing trades with entry near ₹4,080–₹4,120 and exit around ₹4,400–₹4,450; long-term investors should accumulate cautiously given high valuation.

Would you like me to also prepare a fundamental investment rating (1–5) for SCHAEFFLER, so you can directly compare its technical momentum with its long-term fundamentals?

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