SRF - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | SRF | Market Cap | 76,184 Cr. | Current Price | 2,571 ₹ | High / Low | 3,325 ₹ |
| Stock P/E | 42.3 | Book Value | 406 ₹ | Dividend Yield | 0.35 % | ROCE | 13.7 % |
| ROE | 11.5 % | Face Value | 10.0 ₹ | DMA 50 | 2,724 ₹ | DMA 200 | 2,850 ₹ |
| Chg in FII Hold | -0.50 % | Chg in DII Hold | 0.65 % | PAT Qtr | 528 Cr. | PAT Prev Qtr | 363 Cr. |
| RSI | 45.6 | MACD | -74.9 | Volume | 10,15,619 | Avg Vol 1Wk | 9,62,562 |
| Low price | 2,314 ₹ | High price | 3,325 ₹ | PEG Ratio | -7.58 | Debt to equity | 0.25 |
| 52w Index | 25.4 % | Qtr Profit Var | 88.5 % | EPS | 58.4 ₹ | Industry PE | 16.5 |
📊 Chart & Trend Analysis: SRF is trading at ₹2,571, below both its 50 DMA (₹2,724) and 200 DMA (₹2,850), indicating short-term bearish momentum. RSI at 45.6 suggests neutral momentum, not oversold yet. MACD at -74.9 confirms strong bearish crossover. Bollinger Bands show price leaning toward the lower band, signaling consolidation with downside risk.
📈 Volume Trends: Current volume (10,15,619) is slightly above the 1-week average (9,62,562), showing steady participation despite weakness.
🔑 Momentum Signals: Short-term momentum remains weak, but strong quarterly profit growth may support a rebound if price sustains above ₹2,500.
💰 Entry Zone: ₹2,500–₹2,550 (near support).
📉 Exit Zone: ₹2,700–₹2,750 (resistance near 50 DMA).
📌 Trend Status: The stock is consolidating with bearish bias, not yet reversing, but fundamentals suggest potential for recovery if support holds.
Positive
- Quarterly PAT surged from ₹363 Cr. to ₹528 Cr. (88.5% growth).
- EPS of ₹58.4 with consistent profitability.
- DII holdings increased by 0.65%, showing domestic institutional confidence.
Limitation
- High P/E ratio (42.3) compared to industry average (16.5).
- Trading below both 50 DMA and 200 DMA.
- PEG ratio of -7.58 indicates weak growth prospects.
Company Negative News
- FII holdings decreased by 0.50%, showing reduced foreign investor interest.
- Stock corrected significantly from 52-week high of ₹3,325.
Company Positive News
- Strong quarterly profit growth supports earnings momentum.
- Debt-to-equity ratio at 0.25, indicating manageable leverage.
Industry
- Industry PE at 16.5, much lower than SRF’s valuation, showing premium pricing.
- Chemicals and industrial sector remains cyclical but essential for manufacturing growth.
Conclusion
⚖️ SRF is consolidating with bearish undertones, trading below key moving averages. Optimal strategy: accumulate near ₹2,500–₹2,550 support and consider profit booking around ₹2,700–₹2,750 resistance. Long-term investors should weigh strong profit growth against high valuation and reduced FII interest.