UNOMINDA - Technical Analysis with Chart Patterns & Indicators

Last Updated Time : 20 Dec 25, 03:55 pm

Technical Rating: 3.6

📈 Technical Analysis

• Chart Patterns: UNOMINDA is trading near the upper end of its 52-week range (1,262 ₹ vs 1,382 ₹), showing resilience but facing resistance near highs.
• Moving Averages: Current price (1,262 ₹) is slightly above 50 DMA (1,260 ₹) and well above 200 DMA (1,155 ₹), indicating medium-term bullish bias but short-term indecision.
• RSI: At 40.4, RSI suggests weak momentum, leaning toward oversold territory.
• MACD: Negative at -10.6, signaling short-term bearish pressure despite longer-term strength.
• Bollinger Bands: Price near mid-band, suggesting consolidation with potential for breakout if volume improves.
• Volume Trends: Current volume (3.2L) is lower than average weekly volume (6.0L), showing reduced participation and weaker conviction.

🎯 Momentum & Trade Zones

• Support Levels: 1,260 ₹ (50 DMA), 1,155 ₹ (200 DMA), and strong support at 1,100 ₹.
• Resistance Levels: 1,300–1,320 ₹ zone, with major resistance at 1,382 ₹ (52-week high).
• Entry Zone: Accumulate near 1,240–1,260 ₹ on dips.
• Exit Zone: Profit booking suggested near 1,300–1,320 ₹; medium-term exit near 1,380 ₹.
• Trend: Stock is currently consolidating with mild bearish undertone.

✅ Positive

• Strong ROCE (18.0%) and ROE (17.7%).
• EPS at 16.5 ₹ reflects earnings strength.
• Quarterly PAT improved from 274 Cr. to 339 Cr. (+5.93% variation).
• FII holding increased by 0.39%, reflecting foreign investor confidence.
• Debt-to-equity ratio at 0.38, showing manageable leverage.

⚠️ Limitation

• Stock trading near resistance levels with weak RSI and negative MACD.
• High P/E ratio (76.7) compared to industry average (30.0), suggesting overvaluation.
• PEG ratio at 1.37 indicates stretched valuation relative to growth.
• Dividend yield at only 0.18%, offering minimal shareholder return.
• Volume lower than average, showing reduced investor interest.

📉 Company Negative News

• DII holding reduced by -0.05%, showing weaker domestic institutional confidence.
• Technical indicators (RSI & MACD) reflect weak momentum despite price stability.

📊 Company Positive News

• Quarterly profits improved (+5.93%).
• FII holding increased, showing foreign support.
• Strong return ratios (ROCE & ROE) highlight operational efficiency.

🏭 Industry

• Industry P/E at 30.0, much lower than UNOMINDA’s 76.7, suggesting premium valuation.
• Auto components sector outlook remains strong, driven by demand recovery and electrification trends.

📝 Conclusion

• UNOMINDA is in a consolidation phase, trading near resistance levels.
• Short-term momentum is weak, but fundamentals remain supportive.
• Best strategy: accumulate near 1,240–1,260 ₹ and book profits near 1,300–1,320 ₹.
• Medium-term outlook cautiously positive; breakout above 1,382 ₹ needed for further upside.