TATACONSUM - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 05 Nov 25, 7:43 am

Technical Rating: 4.1

Technical Analysis Report for Tata Consumer Products Ltd (TATACONSUM)

• Trend Status: Trending upward with moderate momentum
• Moving Averages: Price above both 50 DMA (₹1,129) and 200 DMA (₹1,089) — bullish alignment
• RSI: 58.5 — neutral to bullish zone, room for upside
• MACD: Positive at 15.2 — bullish crossover, confirms upward momentum
• Bollinger Bands: Price near upper band — continuation possible with volatility
• Volume: Slightly below weekly average — momentum slowing, needs confirmation

Entry & Exit Zones

• Support Levels: ₹1,129 (DMA 50), ₹1,100 (trendline), ₹1,089 (DMA 200)
• Resistance Levels: ₹1,180 (minor resistance), ₹1,191 (52-week high)
• Optimal Entry: ₹1,130–₹1,150 (on pullback or consolidation)
• Optimal Exit: ₹1,180–₹1,190 (if momentum sustains)

Positive

• MACD and moving averages confirm bullish momentum
• EPS of ₹18.0 — solid earnings base
• Quarterly PAT surged from ₹215 Cr. to ₹714 Cr. — strong sequential growth
• Debt-to-equity ratio of 0.03 — virtually debt-free

Limitation

• Volume below average — weak participation
• High P/E of 66.4 vs industry average of 23.5 — premium valuation
• PEG ratio of 6.70 — expensive on growth-adjusted basis
• ROCE (10.0%) and ROE (7.84%) — moderate capital efficiency

Company Negative News

• No major negative news reported in current data

Company Positive News

• Quarterly profit variation of 273% — exceptional YoY growth
• FII holding increased by 0.10%, DII by 0.18% — institutional confidence

Industry

• FMCG and consumer staples — defensive sector with stable demand and long-term growth potential
• Industry P/E of 23.5 — TATACONSUM trades at a significant premium

Conclusion

Tata Consumer Products Ltd is currently trending upward with bullish technical indicators and strong earnings momentum. While valuation is stretched and volume is slightly weak, MACD and price action above key moving averages support further upside. Traders may consider entries near ₹1,130 with exits around ₹1,190, monitoring RSI and volume for sustained momentum.