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TARIL - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.8

Last Updated Time : 24 May 26, 10:34 pm

Technical Rating: 3.8

Stock Code TARIL Market Cap 9,340 Cr. Current Price 310 ₹ High / Low 579 ₹
Stock P/E 41.4 Book Value 48.0 ₹ Dividend Yield 0.06 % ROCE 20.8 %
ROE 17.0 % Face Value 1.00 ₹ DMA 50 304 ₹ DMA 200 341 ₹
Chg in FII Hold 1.32 % Chg in DII Hold -2.41 % PAT Qtr 77.5 Cr. PAT Prev Qtr 71.0 Cr.
RSI 51.2 MACD -0.45 Volume 21,95,841 Avg Vol 1Wk 26,64,811
Low price 224 ₹ High price 579 ₹ PEG Ratio 0.50 Debt to equity 0.29
52w Index 24.3 % Qtr Profit Var 4.34 % EPS 7.51 ₹ Industry PE 35.3

📊 Chart Analysis: TARIL trades at ₹310, slightly above its 50 DMA (₹304) but below the 200 DMA (₹341), showing short-term strength but medium-term weakness. RSI at 51.2 indicates neutral momentum. MACD at -0.45 is mildly negative, suggesting weak bearish crossover. Bollinger Bands place the price near the midline, pointing to consolidation. Current volume (21.9L) is below the 1-week average (26.6L), reflecting reduced participation.

📈 Momentum Signals: Short-term momentum is neutral with mild bearish bias. A move above ₹320 could trigger upside, while a drop below ₹300 risks renewed weakness.

💡 Entry Zone: ₹295–₹310 (support near 50 DMA).

🚪 Exit Zone: ₹335–₹350 (resistance near 200 DMA and trendline).

🔎 Trend Status: The stock is consolidating after falling from its 52-week high of ₹579, with weak volume limiting breakout potential.


Positive

  • 📌 EPS of ₹7.51 with consistent profitability.
  • 📌 ROCE of 20.8% and ROE of 17.0% show healthy efficiency.
  • 📌 PEG ratio of 0.50 suggests attractive valuation relative to growth.
  • 📌 PAT improved from ₹71 Cr. to ₹77.5 Cr. (+4.34% variation).

Limitation

  • ⚠️ Price below 200 DMA indicates medium-term weakness.
  • ⚠️ DII holding decreased (-2.41%), reflecting reduced domestic institutional support.
  • ⚠️ Weak trading volumes compared to average, limiting momentum strength.

Company Negative News

  • ❌ Decline in institutional domestic support (DII).
  • ❌ Stock still far below 52-week high of ₹579, showing long-term weakness.

Company Positive News

  • ✅ FII holding increased (+1.32%), showing strong foreign investor confidence.
  • ✅ Solid fundamentals with low debt-to-equity ratio (0.29).

Industry

  • 🌐 Engineering and manufacturing sector remains in growth phase with strong demand.
  • 🌐 Industry PE at 35.3 is lower than TARIL’s PE (41.4), suggesting premium valuation.

Conclusion

📌 TARIL is consolidating with neutral momentum supported by RSI but limited by weak volumes and negative MACD. Traders may consider entries near ₹295–₹310 and exits around ₹335–₹350. While fundamentals are solid with attractive PEG ratio and profitability, declining DII support and medium-term weakness warrant cautious optimism.

For deeper clarity, we could refine support and resistance mapping, expand on volume analysis to confirm momentum, or dive into RSI and MACD signals for short-term trading cues.

Technical Analysis
Fundamental Analysis

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