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SHRIRAMFIN - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.1

Last Updated Time : 02 Feb 26, 09:58 am

Technical Rating: 4.1

Stock Code SHRIRAMFIN Market Cap 1,87,826 Cr. Current Price 998 ₹ High / Low 1,029 ₹
Stock P/E 20.6 Book Value 321 ₹ Dividend Yield 0.99 % ROCE 11.2 %
ROE 16.4 % Face Value 2.00 ₹ DMA 50 930 ₹ DMA 200 766 ₹
Chg in FII Hold -2.40 % Chg in DII Hold 2.64 % PAT Qtr 2,522 Cr. PAT Prev Qtr 2,307 Cr.
RSI 57.1 MACD 23.1 Volume 38,94,923 Avg Vol 1Wk 62,63,155
Low price 516 ₹ High price 1,029 ₹ PEG Ratio 0.44 Debt to equity 3.88
52w Index 93.8 % Qtr Profit Var 5.33 % EPS 48.5 ₹ Industry PE 18.9

📊 Technical Analysis

  • Chart Patterns: Stock is trading near its recent high (1,029 ₹) and well above both 50 DMA (930 ₹) and 200 DMA (766 ₹), indicating strong bullish momentum.
  • Moving Averages: Current price (998 ₹) comfortably above both averages → bullish setup.
  • RSI: 57.1 → mid-range, suggesting healthy momentum without being overbought.
  • MACD: 23.1 → positive crossover, confirming bullish trend continuation.
  • Bollinger Bands: Price near upper band, showing strong momentum but caution for short-term pullback.
  • Volume Trends: Current volume (38.9 lakh) below 1-week average (62.6 lakh), suggesting reduced participation despite bullish price action.

📈 Momentum & Signals

  • Short-term Momentum: Strong, with bullish bias supported by MACD and price above moving averages.
  • Entry Zone: 980–995 ₹ (near support at 50 DMA).
  • Exit Zone: 1,020–1,030 ₹ (near recent high resistance).
  • Trend Status: Trending upward; consolidation possible near 1,030 ₹ resistance.

✅ Positive

  • Quarterly PAT growth from 2,307 Cr. to 2,522 Cr. (+5.33%).
  • DII holdings increased by 2.64%, showing strong domestic institutional support.
  • EPS of 48.5 ₹ reflects solid earnings base.
  • PEG ratio of 0.44 suggests attractive valuation relative to growth.

⚠️ Limitation

  • High debt-to-equity ratio of 3.88 indicates significant leverage risk.
  • ROCE (11.2%) is modest compared to peers.
  • Dividend yield of 0.99% is moderate, limiting income appeal.

📉 Company Negative News

  • FII holdings decreased by -2.40%, showing reduced foreign investor confidence.
  • Volume participation lower than average, suggesting cautious trading activity.

📈 Company Positive News

  • Quarterly PAT growth (+5.33%) shows consistent earnings improvement.
  • DII inflows indicate strong domestic confidence.
  • 52-week index performance at 93.8% highlights strong relative strength.

🏭 Industry

  • Industry PE at 18.9, slightly lower than SHRIRAMFIN’s 20.6, suggesting fair valuation relative to peers.
  • Financial services sector remains robust, supported by credit demand and economic growth.

🔎 Conclusion

  • SHRIRAMFIN is trending upward with strong bullish signals from DMA, RSI, and MACD.
  • Short-term traders may consider entry around 980–995 ₹ with exit near 1,020–1,030 ₹.
  • Long-term investors may find value given strong earnings growth and attractive PEG ratio, but should monitor high leverage and foreign investor sentiment.

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