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SHYAMMETL - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.6

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

Technical Rating: 3.6

Stock Code SHYAMMETL Market Cap 24,389 Cr. Current Price 874 ₹ High / Low 1,001 ₹
Stock P/E 48.7 Book Value 222 ₹ Dividend Yield 0.52 % ROCE 12.0 %
ROE 8.48 % Face Value 10.0 ₹ DMA 50 831 ₹ DMA 200 843 ₹
Chg in FII Hold -0.12 % Chg in DII Hold 0.30 % PAT Qtr 98.4 Cr. PAT Prev Qtr 136 Cr.
RSI 59.6 MACD 15.7 Volume 7,01,751 Avg Vol 1Wk 12,49,279
Low price 746 ₹ High price 1,001 ₹ PEG Ratio -3.25 Debt to equity 0.05
52w Index 50.2 % Qtr Profit Var -17.2 % EPS 18.0 ₹ Industry PE 22.1

📊 Chart & Indicators: SHYAMMETL is trading at ₹874, above both 50 DMA (₹831) and 200 DMA (₹843), confirming short-term bullish momentum. RSI at 59.6 indicates healthy momentum, while MACD at 15.7 shows positive strength. Price is consolidating between support (~₹860–₹870) and resistance (~₹900–₹920). Volume (7.0L) is below weekly average (12.4L), suggesting reduced participation despite positive signals.

🎯 Entry/Exit Zones:

- Buy Zone: ₹860–₹875 (near support)

- Stop-Loss: ₹845

- Exit Levels: ₹900–₹920 (short-term resistance), ₹980–₹1,000 (major resistance near 52-week high)

📈 Trend Status: Uptrend with consolidation; price above moving averages, RSI supportive, and MACD positive. Momentum remains bullish, though volume weakness could limit upside.

✅ Positive

  • Price above both 50 DMA and 200 DMA, confirming uptrend
  • Low debt-to-equity ratio (0.05)
  • DII holdings increased (+0.30%)
  • 52-week index gain of 50.2%

⚠️ Limitation

  • Quarterly PAT declined (₹136 Cr → ₹98.4 Cr, -17.2%)
  • ROE (8.48%) and ROCE (12.0%) remain modest
  • PEG ratio -3.25 indicates poor growth-adjusted valuation
  • Volume below weekly average, showing weak participation

📉 Company Negative News

  • Profit decline impacting sentiment
  • FII holdings reduced (-0.12%)
  • Valuation stretched with P/E at 48.7 vs Industry PE 22.1

📊 Company Positive News

  • Strong technical momentum supported by RSI and MACD
  • Dividend yield at 0.52% provides investor support
  • Price consolidation near support zone

🏦 Industry

  • Industry PE at 22.1, much lower than SHYAMMETL’s valuation
  • Steel and metals sector demand remains strong
  • Global commodity cycles influencing margins

📝 Conclusion

SHYAMMETL is in a short-term uptrend with price above moving averages and positive RSI/MACD, offering swing trade opportunities. However, declining profits, stretched valuations, and weak volume participation limit upside. Best suited for cautious trades with entry near ₹860–₹875 and exit around ₹900–₹920; long-term investors should wait for earnings stability before fresh accumulation.

Would you like me to also generate a medium-term swing trade rating (1–5) for SHYAMMETL, so you can compare its short-term technical setup with its broader trading potential?

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