SKFINDIA - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 3.5

📊 Technical Analysis Summary

• Trend Status: Reversing
• Current Price: ₹2,143
• RSI (39.4): Weak — approaching oversold territory
• MACD (-20.7): Bearish crossover — downward momentum
• Volume: Above average (21.9K vs 14.4K) — active selling pressure
• DMA 50/200: Price below both (₹2,207 & ₹2,162) — bearish confirmation
• Bollinger Bands: Price near lower band — support likely near ₹2,100

📈 Entry & Exit Zones

• Support Levels: ₹2,100 / ₹2,050 / ₹1,980
• Resistance Levels: ₹2,207 / ₹2,250 / ₹2,300
• Optimal Entry: ₹2,100–₹2,140 (on dip near support)
• Exit Target: ₹2,250–₹2,300 (if momentum recovers)

✅ Positive

• ROCE (28.8%) and ROE (21.4%) — excellent capital efficiency
• EPS of ₹106 — strong earnings base
• PEG ratio of 1.58 — reasonable valuation for growth
• Debt-free — strong financial structure

⚠️ Limitation

• MACD and RSI show bearish momentum
• Price below key moving averages — weak technical setup
• Quarterly PAT dropped from ₹203 Cr to ₹119 Cr — earnings contraction

📉 Company Negative News

• FII holding declined by 0.57% — foreign investor caution
• Quarterly profit variation down 25.4% — earnings volatility

📈 Company Positive News

• DII holding increased by 0.40% — domestic investor confidence
• 52-week performance up 57.1% — strong long-term trend

🏢 Industry

• SKFINDIA operates in industrial bearings and motion technologies — cyclical and manufacturing-driven sector
• Industry P/E is 50.5 — SKFINDIA trades at a discount
• Sector benefits from infrastructure growth and industrial automation

🧾 Conclusion

• SKFINDIA is currently reversing with weak technical indicators and declining momentum
• Entry near ₹2,100 may offer upside toward ₹2,300 if sentiment improves
• Strong fundamentals and valuation support medium-term accumulation with technical confirmation