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TBOTEK - Technical Analysis with Chart Patterns & Indicators

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Rating: 3

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

Technical Rating: 3.0

Stock Code TBOTEK Market Cap 12,940 Cr. Current Price 1,192 ₹ High / Low 1,765 ₹
Stock P/E 270 Book Value 75.6 ₹ Dividend Yield 0.00 % ROCE 14.4 %
ROE 10.3 % Face Value 1.00 ₹ DMA 50 1,230 ₹ DMA 200 1,370 ₹
Chg in FII Hold -1.14 % Chg in DII Hold 1.33 % PAT Qtr 11.9 Cr. PAT Prev Qtr 9.88 Cr.
RSI 47.6 MACD -11.5 Volume 1,13,839 Avg Vol 1Wk 1,03,036
Low price 1,004 ₹ High price 1,765 ₹ PEG Ratio 11.7 Debt to equity 0.12
52w Index 24.7 % Qtr Profit Var 4.58 % EPS 4.24 ₹ Industry PE 39.6

📊 Chart Analysis: TBOTEK is trading at ₹1,192, below both the 50 DMA (₹1,230) and 200 DMA (₹1,370), indicating short-term weakness. RSI at 47.6 suggests neutral momentum leaning bearish. MACD at -11.5 confirms negative momentum. Bollinger Bands show price near the lower band, reflecting selling pressure. Current volume (1.13L) is slightly above the 1-week average (1.03L), showing mild activity during the decline.

📈 Momentum Signals: Short-term momentum is bearish, with RSI showing limited strength and MACD confirming weakness. A rebound is possible only if support levels hold.

💹 Support & Resistance: Strong support lies near ₹1,004 (recent low). Immediate resistance is at ₹1,230 (50 DMA) and ₹1,370 (200 DMA). Optimal entry zone: ₹1,170–₹1,190. Exit zone: ₹1,230–₹1,250.

🔄 Trend Status: The stock is currently consolidating downward with potential reversal signs if support near ₹1,004 holds.


Positive

  • ✅ ROCE of 14.4% and ROE of 10.3% show moderate efficiency.
  • ✅ EPS of ₹4.24 supports valuation strength.
  • ✅ Very low debt-to-equity ratio of 0.12 indicates financial stability.
  • ✅ PAT improved sequentially from ₹9.88 Cr. to ₹11.9 Cr.
  • ✅ DII holdings increased by 1.33%, showing domestic investor confidence.

Limitation

  • ⚠️ Current price below both 50 DMA and 200 DMA, showing weak technical strength.
  • ⚠️ Extremely high P/E of 270 compared to industry P/E of 39.6, suggesting severe overvaluation.
  • ⚠️ PEG ratio of 11.7 indicates expensive growth expectations.
  • ⚠️ Dividend yield of 0.00% offers no income return.

Company Negative News

  • 📉 FII holdings decreased by -1.14%, showing reduced foreign investor confidence.
  • 📉 Stock trading at only 24.7% of its 52-week index, reflecting underperformance.

Company Positive News

  • 📈 Sequential profit growth of 4.58% highlights improving performance.
  • 📈 Domestic institutional investors increased holdings significantly.

Industry

  • ⚙️ Tech & innovation sector trading at industry P/E of 39.6, far lower than TBOTEK’s P/E of 270, highlighting valuation concerns.
  • ⚙️ Sector supported by digital adoption and innovation-driven demand.

Conclusion

📌 TBOTEK is consolidating downward, trading below key moving averages with bearish MACD and weak RSI. Entry around ₹1,170–₹1,190 with exit near ₹1,230–₹1,250 offers a cautious rebound opportunity. Fundamentals show moderate efficiency and low debt, but extreme overvaluation, weak profitability, and foreign investor outflows are concerns. The stock remains risky and is consolidating near support levels.

For broader context, you could explore a tech sector outlook or compare TBOTEK with peers through a valuation comparison.

Technical Analysis
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