TORNTPOWER - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.7

📉 TORNTPOWER is currently in a consolidation phase with mild bullish momentum and resistance near the 200-DMA. Entry zone: ₹1,290–₹1,316; exit zone: ₹1,355–₹1,375. Watch for breakout above ₹1,375 with volume confirmation.

📊 Technical Overview

• Price Action: Trading at ₹1,316, above 50-DMA (₹1,294) but below 200-DMA (₹1,371), indicating short-term strength but medium-term resistance.
• RSI (56.4): Slightly bullish, suggesting upward momentum but not yet overbought.
• MACD (13.8): Bullish crossover, confirming positive momentum.
• Bollinger Bands: Price near mid-band, indicating range-bound movement with breakout potential.
• Volume: Below 1-week average, showing weak conviction behind price moves.
• Support Zones: ₹1,290 (S1), ₹1,260 (S2)
• Resistance Zones: ₹1,355 (R1), ₹1,375 (R2)

✅ Positive

• Strong ROCE (16.9%) and ROE (18.7%) reflect efficient capital utilization.
• EPS of ₹52.2 supports valuation and earnings visibility.
• PEG ratio of 0.48 indicates undervaluation relative to growth.
• Price trading above 50-DMA suggests short-term strength.

⚠️ Limitation

• Quarterly PAT dropped from ₹1,090 Cr. to ₹685 Cr., a 26.2% decline.
• Volume trends are weak, limiting breakout potential.
• Price below 200-DMA may act as resistance in the near term.
• 52-week performance up only 19.5%, lagging sector leaders.

📉 Company Negative News

• Decline in FII holdings (-0.97%) reflects cautious foreign sentiment.
• Profit contraction may impact near-term investor confidence.

📈 Company Positive News

• DII holdings increased (+0.75%), showing domestic institutional support.
• Strong performance in renewable and distribution segments supports long-term growth outlook.

🏢 Industry

• Power sector benefits from rising energy demand and transition to renewables.
• Industry P/E of 25.1 aligns closely with TORNTPOWER’s valuation.

🧭 Conclusion

• TORNTPOWER is consolidating with mild bullish indicators and resistance near 200-DMA.
• Entry zone: ₹1,290–₹1,316; exit zone: ₹1,355–₹1,375 for short-term swing trades.
• Long-term investors may accumulate on dips, supported by strong fundamentals and sector tailwinds.