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SYNGENE - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.8

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

Technical Rating: 3.8

Stock Code SYNGENE Market Cap 18,843 Cr. Current Price 468 ₹ High / Low 729 ₹
Stock P/E 52.1 Book Value 117 ₹ Dividend Yield 0.27 % ROCE 10.0 %
ROE 7.74 % Face Value 10.0 ₹ DMA 50 440 ₹ DMA 200 552 ₹
Chg in FII Hold -1.05 % Chg in DII Hold 0.61 % PAT Qtr 154 Cr. PAT Prev Qtr 68.7 Cr.
RSI 65.4 MACD 7.54 Volume 6,33,89,388 Avg Vol 1Wk 1,66,63,242
Low price 380 ₹ High price 729 ₹ PEG Ratio -6.19 Debt to equity 0.04
52w Index 25.1 % Qtr Profit Var -11.8 % EPS 7.57 ₹ Industry PE 39.6

📈 Chart Patterns & Trend: SYNGENE is trading above its 50 DMA (₹440) but below its 200 DMA (₹552), with current price at ₹468. This indicates short-term strength but medium-term weakness. The stock is consolidating with mild bullish bias, supported by recent price action.

📊 Indicators: RSI at 65.4 suggests approaching overbought territory. MACD positive at 7.54 confirms bullish crossover. Bollinger Bands show price near upper band, signaling momentum but also risk of pullback.

🔎 Volume: Current volume (6.33 Cr.) is significantly higher than average weekly volume (1.66 Cr.), showing strong participation and accumulation interest.

🎯 Entry Zone: ₹455–₹465 (near 50 DMA support)

🚪 Exit Zone: ₹490–₹500 (resistance zone, short-term target)


Positive

  • Strong quarterly PAT growth (₹154 Cr. vs ₹68.7 Cr.).
  • EPS of ₹7.57 supports earnings visibility.
  • Low debt-to-equity ratio (0.04) ensures financial stability.
  • DII holdings increased by 0.61%, showing domestic confidence.

Limitation

  • High P/E of 52.1 compared to industry average (39.6), indicating premium valuation.
  • ROCE (10.0%) and ROE (7.74%) remain modest.
  • PEG ratio of -6.19 suggests poor valuation alignment with growth.
  • FII holdings decreased by 1.05%, showing reduced foreign interest.

Company Negative News

  • Quarterly profit variation of -11.8% highlights earnings volatility.
  • Premium valuation may limit upside if growth slows.

Company Positive News

  • Strong sequential PAT growth supports near-term momentum.
  • Domestic institutional investors increased stake, reflecting confidence.

Industry

  • Industry PE at 39.6 is lower than SYNGENE’s 52.1, highlighting premium valuation.
  • Biotech and pharma sector outlook remains positive with demand recovery and R&D investments.

Conclusion

SYNGENE is consolidating with short-term bullish signals from MACD, RSI, and strong volume. Entry near ₹455–₹465 offers favorable risk-reward, with exit around ₹490–₹500. Fundamentals remain stable, but high valuations and modest efficiency metrics require cautious positioning.

Would you like me to also prepare a sector overlay comparison (benchmarking SYNGENE against peers like DIVISLAB, BIOCON, and LAURUSLABS) to highlight relative strength and valuation positioning?

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