UNOMINDA - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 3.9

📊 UNOMINDA is currently in a consolidation phase with neutral momentum and mixed technical indicators. Entry zone: ₹1,210–₹1,234; exit zone: ₹1,270–₹1,295. Watch for MACD reversal and volume spike to confirm breakout.

📊 Technical Overview

• Price Action: Trading at ₹1,234, slightly above 50-DMA (₹1,232) and well above 200-DMA (₹1,108), indicating long-term strength but short-term hesitation.
• RSI (49.1): Neutral zone, suggesting balanced momentum without clear directional bias.
• MACD (-15.7): Bearish crossover, indicating short-term weakness.
• Bollinger Bands: Price near mid-band, confirming consolidation.
• Volume: Above 1-week average, showing active participation and potential accumulation.
• Support Zones: ₹1,210 (S1), ₹1,180 (S2)
• Resistance Zones: ₹1,270 (R1), ₹1,295 (R2)

✅ Positive

• Strong ROCE (18.0%) and ROE (17.7%) reflect solid operational efficiency.
• EPS of ₹16.2 supports valuation and earnings visibility.
• Quarterly PAT increased from ₹179 Cr. to ₹274 Cr., a 95.2% jump.
• Price trading above 200-DMA confirms long-term bullish bias.

⚠️ Limitation

• Stock P/E (76.5) is significantly higher than industry average (32.6), suggesting overvaluation.
• MACD shows bearish divergence, limiting short-term upside.
• Dividend yield of 0.18% is low for income-focused investors.
• PEG ratio of 1.37 indicates fair valuation but not undervalued.

📉 Company Negative News

• DII holdings declined (-0.05%), reflecting cautious domestic sentiment.
• MACD trend suggests short-term weakness despite strong fundamentals.

📈 Company Positive News

• FII holdings increased (+0.39%), showing foreign investor confidence.
• Strong quarterly earnings and margin expansion driving investor interest.

🏢 Industry

• Auto components sector benefits from rising EV adoption and OEM demand.
• Industry P/E of 32.6 reflects moderate valuation across peers.

🧭 Conclusion

• UNOMINDA is consolidating with neutral technical indicators and strong long-term trend support.
• Entry zone: ₹1,210–₹1,234; exit zone: ₹1,270–₹1,295 for short-term swing trades.
• Long-term investors may accumulate on dips, supported by strong earnings and sector growth.