UBL - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.4
| Stock Code | UBL | Market Cap | 34,761 Cr. | Current Price | 1,315 ₹ | High / Low | 2,135 ₹ |
| Stock P/E | 93.0 | Book Value | 171 ₹ | Dividend Yield | 0.76 % | ROCE | 10.7 % |
| ROE | 8.43 % | Face Value | 1.00 ₹ | DMA 50 | 1,466 ₹ | DMA 200 | 1,638 ₹ |
| Chg in FII Hold | -0.56 % | Chg in DII Hold | 0.63 % | PAT Qtr | 40.5 Cr. | PAT Prev Qtr | 92.0 Cr. |
| RSI | 22.1 | MACD | -45.5 | Volume | 1,71,479 | Avg Vol 1Wk | 1,49,422 |
| Low price | 1,312 ₹ | High price | 2,135 ₹ | PEG Ratio | 19.9 | Debt to equity | 0.29 |
| 52w Index | 0.35 % | Qtr Profit Var | -58.4 % | EPS | 15.6 ₹ | Industry PE | 32.2 |
📊 Chart Analysis: UBL trades at ₹1,315, well below its 50 DMA (₹1,466) and 200 DMA (₹1,638), signaling strong short-term and medium-term weakness. RSI at 22.1 indicates deeply oversold conditions, suggesting potential rebound. MACD at -45.5 is bearish, confirming downward momentum. Bollinger Bands place the price near the lower band, pointing to heavy pressure with scope for technical bounce. Current volume (1.71L) is slightly above the 1-week average (1.49L), reflecting increased participation during declines.
📈 Momentum Signals: Short-term momentum is bearish with oversold bias. A move above ₹1,350 could trigger recovery, while a drop below ₹1,300 risks further downside.
💡 Entry Zone: ₹1,300–₹1,320 (support near recent lows).
🚪 Exit Zone: ₹1,400–₹1,450 (resistance near 50 DMA and trendline).
🔎 Trend Status: The stock is reversing downward after failing to sustain above ₹2,135, with oversold RSI hinting at possible short-term consolidation.
Positive
- 📌 EPS of ₹15.6 with profitability.
- 📌 ROCE of 10.7% and ROE of 8.43% show moderate efficiency.
- 📌 Dividend yield of 0.76% provides shareholder returns.
- 📌 DII holding increased (+0.63%), showing domestic institutional support.
Limitation
- ⚠️ Price below both 50 DMA and 200 DMA indicates weakness.
- ⚠️ Very high P/E of 93.0 compared to industry PE (32.2), suggesting overvaluation.
- ⚠️ PEG ratio of 19.9 highlights expensive growth outlook.
Company Negative News
- ❌ PAT dropped sharply from ₹92 Cr. to ₹40.5 Cr. (-58.4% variation).
- ❌ FII holding decreased (-0.56%), reflecting reduced foreign investor confidence.
- ❌ Stock still far below 52-week high of ₹2,135, showing long-term weakness.
Company Positive News
- ✅ Dividend yield provides steady returns to investors.
- ✅ Strong trading volumes indicate investor interest despite weakness.
Industry
- 🌐 Beverage and FMCG sector remains resilient with consumer demand.
- 🌐 Industry PE at 32.2 is far lower than UBL’s PE, suggesting premium valuation.
Conclusion
📌 UBL is reversing downward with bearish signals but oversold RSI suggests potential short-term consolidation. Traders may consider entries near ₹1,300–₹1,320 and exits around ₹1,400–₹1,450. While fundamentals show dividend yield and moderate efficiency, sharp profit decline, high valuation, and reduced foreign support 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 RSI and MACD signals for short-term trading cues.