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TARIL - Technical Analysis with Chart Patterns & Indicators

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Rating: 2.7

Last Updated Time : 02 Feb 26, 10:12 am

Technical Rating: 2.7

Stock Code TARIL Market Cap 7,115 Cr. Current Price 237 ₹ High / Low 595 ₹
Stock P/E 32.0 Book Value 42.8 ₹ Dividend Yield 0.08 % ROCE 24.6 %
ROE 20.0 % Face Value 1.00 ₹ DMA 50 289 ₹ DMA 200 388 ₹
Chg in FII Hold -4.20 % Chg in DII Hold -1.77 % PAT Qtr 71.0 Cr. PAT Prev Qtr 16.8 Cr.
RSI 36.9 MACD -16.3 Volume 21,55,082 Avg Vol 1Wk 32,04,609
Low price 226 ₹ High price 595 ₹ PEG Ratio 0.23 Debt to equity 0.27
52w Index 2.92 % Qtr Profit Var 40.6 % EPS 7.48 ₹ Industry PE 35.4

📊 Chart Patterns: TARIL is trading at 237 ₹, significantly below both 50 DMA (289 ₹) and 200 DMA (388 ₹). The price has corrected sharply from its 52-week high (595 ₹) and is hovering near its 52-week low (226 ₹), reflecting a prolonged downtrend.

📈 Moving Averages: Current price is under both short-term and long-term averages, confirming bearish sentiment. The 50 DMA is also below the 200 DMA, reinforcing weakness.

📉 RSI: At 36.9, RSI indicates the stock is approaching oversold territory, suggesting potential short-term support but no strong reversal yet.

📉 MACD: Negative at -16.3, showing bearish divergence and lack of buying strength.

📊 Bollinger Bands: Price is near the lower band, indicating oversold conditions and possible short-term bounce.

📊 Volume Trends: Current volume (21.5 lakh) is lower than average weekly volume (32 lakh), suggesting reduced participation and weak investor interest.

📌 Momentum Signals: Short-term momentum remains bearish. Support lies around 226–230 ₹, while resistance is near 285–290 ₹.

🎯 Entry Zone: 230–240 ₹ (near support, only for short-term traders with strict stop-loss).

🎯 Exit Zone: 285–290 ₹ (near 50 DMA resistance).

🔎 Trend Status: The stock is consolidating with bearish bias, not yet showing reversal signals.


Positive

  • EPS of 7.48 ₹ indicates profitability.
  • ROCE (24.6%) and ROE (20.0%) reflect efficient capital usage.
  • Quarterly PAT improved significantly from 16.8 Cr. to 71.0 Cr. (40.6% growth).
  • PEG ratio of 0.23 suggests attractive valuation relative to growth.

Limitation

  • Stock trading below both 50 DMA and 200 DMA shows weak technical strength.
  • Sharp correction from 595 ₹ high to current levels reflects investor caution.
  • Dividend yield of 0.08% is very low.
  • 52-week performance index at 2.92% indicates severe underperformance.

Company Negative News

  • FII holdings decreased by -4.20% and DII holdings by -1.77%, showing reduced institutional confidence.
  • Stock price has corrected sharply, nearing 52-week lows.

Company Positive News

  • Quarterly PAT growth signals improving operational efficiency.
  • Strong ROCE and ROE highlight effective capital deployment.

Industry

  • Industry PE at 35.4 suggests sector trades at higher valuations compared to TARIL’s P/E of 32.0.
  • Sector outlook remains stable with long-term growth potential.

Conclusion

⚠️ TARIL is consolidating with a bearish bias, trading below key moving averages and showing weak momentum. Short-term traders may consider entry near 230–240 ₹ with strict stop-loss, targeting 285–290 ₹ resistance. Long-term investors should wait for a clear reversal above 289 ₹ (50 DMA) with sustained volume before fresh positions.

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