TANLA - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 2.7
| Stock Code | TANLA | Market Cap | 6,134 Cr. | Current Price | 463 ₹ | High / Low | 766 ₹ |
| Stock P/E | 23.6 | Book Value | 38.2 ₹ | Dividend Yield | 2.59 % | ROCE | 41.0 % |
| ROE | 47.6 % | Face Value | 1.00 ₹ | DMA 50 | 553 ₹ | DMA 200 | 612 ₹ |
| Chg in FII Hold | 1.75 % | Chg in DII Hold | -0.18 % | PAT Qtr | 3.14 Cr. | PAT Prev Qtr | 52.3 Cr. |
| RSI | 24.6 | MACD | -20.7 | Volume | 11,07,482 | Avg Vol 1Wk | 5,62,778 |
| Low price | 409 ₹ | High price | 766 ₹ | PEG Ratio | 0.62 | Debt to equity | 0.26 |
| 52w Index | 15.0 % | Qtr Profit Var | -96.6 % | EPS | 19.3 ₹ | Industry PE | 43.1 |
📉 Chart Patterns: TANLA is trading well below its 50 DMA (553 ₹) and 200 DMA (612 ₹), showing strong bearish sentiment. Support lies near 409–420 ₹, while resistance is around 550–560 ₹ and 610–620 ₹.
📊 Moving Averages: Current price (463 ₹) is below both 50 DMA and 200 DMA, confirming a downward trend.
📈 RSI: At 24.6, RSI is in oversold territory, suggesting potential for a short-term rebound.
📉 MACD: Negative (-20.7), confirming bearish crossover and continuation of downward momentum.
📊 Bollinger Bands: Price is near the lower band, signaling oversold conditions and possible bounce.
📊 Volume Trends: Current volume (11,07,482) is significantly higher than 1-week average (5,62,778), indicating strong selling pressure but also some accumulation near support.
⚡ Momentum Signals: Weak momentum with oversold indicators. Possible rebound from 409–420 ₹ support zone, but upside capped near 550–560 ₹ resistance.
🎯 Entry Zone: 410–430 ₹ (near support, oversold RSI).
🎯 Exit Zone: 550–560 ₹ (short-term resistance) and 610–620 ₹ (major resistance).
🔎 Trend Status: The stock is consolidating near support with bearish undertones; reversal only if price sustains above 610 ₹.
Positive
- ✅ Strong ROCE (41.0%) and ROE (47.6%) indicate excellent capital efficiency.
- ✅ EPS of 19.3 ₹ supports earnings strength.
- ✅ Dividend yield of 2.59% provides steady shareholder returns.
- ✅ FII holding increased (+1.75%), reflecting foreign investor confidence.
- ✅ PEG ratio of 0.62 suggests attractive valuation relative to growth.
Limitation
- ⚠️ Price trading below both 50 DMA and 200 DMA shows weak technical strength.
- ⚠️ RSI near oversold levels indicates fragile momentum.
- ⚠️ Valuation is lower than industry PE (23.6 vs 43.1), but earnings volatility raises concerns.
Company Negative News
- 📉 Quarterly profit dropped sharply (-96.6%), PAT fell from 52.3 Cr. to 3.14 Cr.
- 📉 DII holding decreased (-0.18%), showing reduced domestic institutional support.
Company Positive News
- 📈 Strong ROCE and ROE highlight operational efficiency despite profit decline.
- 📈 Dividend yield of 2.59% provides shareholder returns.
- 📈 FII holding increased, showing global investor confidence.
Industry
- 🏭 Industry PE at 43.1 is higher than TANLA’s P/E (23.6), suggesting undervaluation relative to peers.
- 🏭 Telecom and IT services sector has strong long-term demand drivers, though near-term earnings pressure persists.
Conclusion
📌 TANLA is currently in a bearish consolidation phase, trading near support with oversold indicators. Fundamentals show strong ROCE/ROE and attractive PEG ratio, but earnings volatility and weak technicals limit upside. Optimal strategy: accumulate cautiously near 410–430 ₹ support and book profits around 550–560 ₹ or 610–620 ₹ unless a breakout above 610 ₹ confirms reversal.