SHREECEM - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.4
| Stock Code | SHREECEM | Market Cap | 86,281 Cr. | Current Price | 23,900 ₹ | High / Low | 32,508 ₹ |
| Stock P/E | 49.9 | Book Value | 6,078 ₹ | Dividend Yield | 0.46 % | ROCE | 7.17 % |
| ROE | 5.69 % | Face Value | 10.0 ₹ | DMA 50 | 25,788 ₹ | DMA 200 | 27,420 ₹ |
| Chg in FII Hold | -0.27 % | Chg in DII Hold | 0.19 % | PAT Qtr | 279 Cr. | PAT Prev Qtr | 277 Cr. |
| RSI | 36.8 | MACD | -859 | Volume | 17,637 | Avg Vol 1Wk | 37,092 |
| Low price | 22,855 ₹ | High price | 32,508 ₹ | PEG Ratio | -2.42 | Debt to equity | 0.09 |
| 52w Index | 10.8 % | Qtr Profit Var | 21.4 % | EPS | 480 ₹ | Industry PE | 28.2 |
📊 Chart & Trend Analysis: SHREECEM is trading at ₹23,900, below both its 50 DMA (₹25,788) and 200 DMA (₹27,420), indicating bearish momentum. RSI at 36.8 suggests the stock is nearing oversold territory. MACD at -859 confirms strong negative crossover. Bollinger Bands show price near the lower band, signaling weakness with potential support around ₹22,800–₹23,000.
📈 Volume Trends: Current volume (17,637) is significantly below the 1-week average (37,092), showing weak participation and limited buying interest.
🔑 Momentum Signals: Short-term momentum is weak, with downside risk. A rebound is possible only if price sustains above ₹23,000 with stronger volumes.
💰 Entry Zone: ₹22,800–₹23,200 (near support).
📉 Exit Zone: ₹25,500–₹26,000 (resistance near 50 DMA).
📌 Trend Status: The stock is consolidating with bearish bias, showing no clear reversal signs yet.
Positive
- EPS of ₹480 with profitability.
- ROCE at 7.17% and ROE at 5.69% indicate steady efficiency.
- Debt-to-equity ratio at 0.09, showing low leverage.
- Dividend yield of 0.46% provides income support.
Limitation
- High P/E ratio (49.9) compared to industry average (28.2).
- PEG ratio of -2.42 suggests weak growth prospects.
- Trading well below both 50 DMA and 200 DMA.
Company Negative News
- PAT remained flat (₹277 Cr. to ₹279 Cr.), showing limited earnings growth.
- FII holdings decreased by 0.27%, showing reduced foreign investor confidence.
Company Positive News
- Quarterly profit variation improved by 21.4% YoY.
- DII holdings increased slightly (+0.19%), showing domestic support.
- Stock has delivered 10.8% return over the past year despite weakness.
Industry
- Industry PE at 28.2, much lower than SHREECEM’s valuation, showing premium pricing.
- Cement sector remains cyclical but benefits from infrastructure demand.
Conclusion
⚖️ SHREECEM is consolidating with bearish undertones, trading below key moving averages. Optimal strategy: accumulate cautiously near ₹22,800–₹23,200 support and consider profit booking around ₹25,500–₹26,000 resistance. Long-term investors should monitor valuation premium and weak ROE/ROCE, but fundamentals remain stable with low debt and consistent profitability.