THERMAX - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 4.1
| Stock Code | THERMAX | Market Cap | 53,066 Cr. | Current Price | 4,445 ₹ | High / Low | 4,880 ₹ |
| Stock P/E | 91.9 | Book Value | 372 ₹ | Dividend Yield | 0.31 % | ROCE | 17.0 % |
| ROE | 13.8 % | Face Value | 2.00 ₹ | DMA 50 | 3,936 ₹ | DMA 200 | 3,476 ₹ |
| Chg in FII Hold | -1.11 % | Chg in DII Hold | 0.65 % | PAT Qtr | 199 Cr. | PAT Prev Qtr | 111 Cr. |
| RSI | 59.8 | MACD | 193 | Volume | 2,40,476 | Avg Vol 1Wk | 2,43,859 |
| Low price | 2,743 ₹ | High price | 4,880 ₹ | PEG Ratio | 4.39 | Debt to equity | 0.03 |
| 52w Index | 79.6 % | Qtr Profit Var | -2.89 % | EPS | 54.5 ₹ | Industry PE | 35.3 |
📊 Chart Analysis: THERMAX trades at ₹4,445, well above its 50 DMA (₹3,936) and 200 DMA (₹3,476), signaling strong bullish momentum. RSI at 59.8 indicates neutral-to-slightly bullish conditions. MACD at 193 is strongly positive, confirming bullish crossover. Bollinger Bands show price near the upper band, suggesting strong upward momentum with caution for potential pullback. Current volume (2.4L) is in line with the 1-week average (2.4L), reflecting steady participation.
📈 Momentum Signals: Short-term momentum is bullish. Sustained trade above ₹4,500 could trigger further upside, while support lies near ₹4,350.
💡 Entry Zone: ₹4,350–₹4,450 (support near DMA levels).
🚪 Exit Zone: ₹4,700–₹4,850 (resistance near recent highs and trendline).
🔎 Trend Status: The stock is trending upward with strong bullish signals, supported by MACD and moving averages.
Positive
- 📌 EPS of ₹54.5 with consistent profitability.
- 📌 ROCE of 17.0% and ROE of 13.8% show healthy efficiency.
- 📌 Very low debt-to-equity ratio (0.03) indicates strong financial stability.
- 📌 PAT improved from ₹111 Cr. to ₹199 Cr., showing growth.
Limitation
- ⚠️ High P/E of 91.9 compared to industry PE (35.3), indicating overvaluation.
- ⚠️ PEG ratio of 4.39 suggests expensive growth outlook.
- ⚠️ FII holding decreased (-1.11%), showing reduced foreign investor confidence.
Company Negative News
- ❌ Quarterly profit variation at -2.89% indicates margin pressure.
- ❌ High valuation multiples may limit upside potential.
Company Positive News
- ✅ DII holding increased (+0.65%), showing domestic institutional support.
- ✅ Strong price momentum with 52-week index performance at 79.6%.
Industry
- 🌐 Engineering and energy solutions sector remains in growth phase with strong demand.
- 🌐 Industry PE at 35.3 is lower than THERMAX’s PE, suggesting premium valuation for the company.
Conclusion
📌 THERMAX is trending upward with strong bullish signals supported by MACD, RSI, and moving averages. Traders may consider entries near ₹4,350–₹4,450 and exits around ₹4,700–₹4,850. While fundamentals are solid with strong efficiency and low debt, high valuation and reduced FII interest warrant cautious optimism for medium-term investors.
For deeper clarity, we could refine support and resistance mapping, expand on volume analysis to confirm momentum, or dive into MACD and RSI signals for short-term trading cues.