TATACONSUM - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | TATACONSUM | Market Cap | 1,13,265 Cr. | Current Price | 1,145 ₹ | High / Low | 1,221 ₹ |
| Stock P/E | 74.4 | Book Value | 174 ₹ | Dividend Yield | 0.72 % | ROCE | 10.0 % |
| ROE | 7.84 % | Face Value | 1.00 ₹ | DMA 50 | 1,117 ₹ | DMA 200 | 1,120 ₹ |
| Chg in FII Hold | -0.39 % | Chg in DII Hold | 0.72 % | PAT Qtr | 307 Cr. | PAT Prev Qtr | 285 Cr. |
| RSI | 56.6 | MACD | 20.9 | Volume | 15,86,977 | Avg Vol 1Wk | 14,37,364 |
| Low price | 1,007 ₹ | High price | 1,221 ₹ | PEG Ratio | 7.51 | Debt to equity | 0.05 |
| 52w Index | 64.3 % | Qtr Profit Var | -46.1 % | EPS | 16.1 ₹ | Industry PE | 21.8 |
📈 Chart Patterns & Trend: TATACONSUM is trading slightly above both 50 DMA (₹1,117) and 200 DMA (₹1,120), with current price at ₹1,145. The stock is consolidating near support zones after a rally from ₹1,007. Trend bias is neutral-to-bullish with limited momentum.
📊 Indicators: RSI at 56.6 indicates moderate momentum. MACD positive at 20.9 confirms bullish crossover. Bollinger Bands show price near mid-to-upper band, suggesting controlled upward movement but resistance overhead.
🔎 Volume: Current volume (15.9 Lakh) is slightly above average weekly volume (14.4 Lakh), showing healthy participation and accumulation interest.
🎯 Entry Zone: ₹1,125–₹1,135 (near DMA support)
🚪 Exit Zone: ₹1,175–₹1,190 (resistance zone, short-term target)
Positive
- EPS of ₹16.1 supports earnings visibility.
- DII holdings increased by 0.72%, showing domestic confidence.
- Stock trading above both 50 DMA and 200 DMA confirms short-term strength.
- Low debt-to-equity ratio (0.05) ensures financial stability.
Limitation
- High P/E of 74.4 compared to industry average (21.8), indicating premium valuation.
- Weak ROCE (10.0%) and ROE (7.84%) reflect modest efficiency.
- PEG ratio of 7.51 suggests expensive growth expectations.
- Sequential PAT decline (₹285 Cr. → ₹307 Cr. with -46.1% variation) raises concerns.
- FII holdings decreased by 0.39%, showing reduced foreign interest.
Company Negative News
- Quarterly profit variation highlights earnings volatility.
- Premium valuation compared to peers may limit upside.
Company Positive News
- Domestic institutional investors increased stake, reflecting confidence.
- Dividend yield of 0.72% adds investor appeal.
Industry
- Industry PE at 21.8 is much lower than TATACONSUM’s 74.4, highlighting premium valuation.
- FMCG sector outlook remains positive with demand recovery and consumption growth.
Conclusion
TATACONSUM is consolidating near support with short-term bullish signals from MACD and RSI. Entry near ₹1,125–₹1,135 offers tactical opportunity, with exit around ₹1,175–₹1,190. Fundamentals remain mixed, with dividend support but weak efficiency and high valuations requiring cautious positioning.
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