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SOLARINDS - Technical Analysis with Chart Patterns & Indicators

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Rating: 4.1

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

Technical Rating: 4.1

Stock Code SOLARINDS Market Cap 1,39,708 Cr. Current Price 15,439 ₹ High / Low 17,820 ₹
Stock P/E 130 Book Value 387 ₹ Dividend Yield 0.06 % ROCE 37.3 %
ROE 29.7 % Face Value 2.00 ₹ DMA 50 14,135 ₹ DMA 200 13,546 ₹
Chg in FII Hold -0.15 % Chg in DII Hold -0.02 % PAT Qtr 329 Cr. PAT Prev Qtr 235 Cr.
RSI 64.4 MACD 496 Volume 97,854 Avg Vol 1Wk 1,11,432
Low price 11,641 ₹ High price 17,820 ₹ PEG Ratio 2.87 Debt to equity 0.05
52w Index 61.5 % Qtr Profit Var 61.2 % EPS 118 ₹ Industry PE 28.5

📊 Chart & Indicators: SOLARINDS is trading at ₹15,439, well above both 50 DMA (₹14,135) and 200 DMA (₹13,546), confirming strong bullish momentum. RSI at 64.4 indicates healthy momentum but nearing overbought territory, while MACD at 496 shows powerful upward strength. Price is consolidating between support (~₹15,300–₹15,400) and resistance (~₹15,700–₹15,800). Volume (97.8K) is slightly below weekly average (111K), suggesting moderate participation.

🎯 Entry/Exit Zones:

- Buy Zone: ₹15,300–₹15,450 (near support)

- Stop-Loss: ₹15,150

- Exit Levels: ₹15,700–₹15,800 (short-term resistance), ₹16,200–₹16,400 (extended breakout zone)

📈 Trend Status: Strong uptrend with consolidation; price above moving averages, RSI supportive but close to overbought, and MACD highly positive. Momentum remains bullish, though volume weakness could limit upside.

✅ Positive

  • Price above both 50 DMA and 200 DMA, confirming strong uptrend
  • Quarterly PAT growth: ₹329 Cr vs ₹235 Cr (+61.2%)
  • EPS at ₹118 supports earnings strength
  • Strong ROCE (37.3%) and ROE (29.7%)
  • Low debt-to-equity ratio (0.05)

⚠️ Limitation

  • High P/E of 130 vs Industry PE 28.5 → stretched valuation
  • RSI nearing overbought zone (64.4)
  • Volume below weekly average, showing reduced participation
  • Dividend yield at 0.06% offers minimal income support

📉 Company Negative News

  • FII holdings reduced (-0.15%)
  • DII holdings reduced (-0.02%)
  • Valuation concerns due to high P/E

📊 Company Positive News

  • Strong quarterly profit growth (+61.2%)
  • Price momentum supported by MACD and moving averages
  • 52-week index gain of 61.5%

🏦 Industry

  • Industry PE at 28.5, much lower than SOLARINDS’s valuation
  • Defense and explosives sector demand remains strong
  • Peers show lower ROE/ROCE compared to SOLARINDS

📝 Conclusion

SOLARINDS is in a strong uptrend with bullish technicals, supported by price above moving averages, positive MACD, and robust fundamentals. However, stretched valuations and RSI nearing overbought warrant caution. Best suited for swing trades with entry near ₹15,300–₹15,450 and exit around ₹15,700–₹15,800; long-term investors should accumulate cautiously given high P/E and limited dividend yield.

Would you like me to also generate a short-term intraday trade rating (1–5) for SOLARINDS, so you can compare its immediate trading potential with this swing trade outlook?

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