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UNOMINDA - Technical Analysis with Chart Patterns & Indicators

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Rating: 3.8

Last Updated Time : 19 Mar 26, 09:02 pm

Technical Rating: 3.8

Stock Code UNOMINDA Market Cap 62,049 Cr. Current Price 1,075 ₹ High / Low 1,382 ₹
Stock P/E 63.6 Book Value 94.4 ₹ Dividend Yield 0.21 % ROCE 18.9 %
ROE 18.5 % Face Value 2.00 ₹ DMA 50 1,164 ₹ DMA 200 1,168 ₹
Chg in FII Hold -0.15 % Chg in DII Hold 0.17 % PAT Qtr 184 Cr. PAT Prev Qtr 339 Cr.
RSI 40.8 MACD -41.5 Volume 15,77,219 Avg Vol 1Wk 13,42,132
Low price 768 ₹ High price 1,382 ₹ PEG Ratio 1.14 Debt to equity 0.38
52w Index 50.0 % Qtr Profit Var 16.7 % EPS 16.5 ₹ Industry PE 25.0

📊 Technical Analysis

  • Chart Patterns: Stock is trading below both 50 DMA (₹1,164) and 200 DMA (₹1,168), showing weakness. Support at ₹1,050–₹1,075, resistance around ₹1,164–₹1,200.
  • Moving Averages: Current price (₹1,075) is below both averages, confirming bearish undertone.
  • RSI: 40.8 — approaching oversold zone, suggesting potential short-term bounce.
  • MACD: -41.5 — bearish crossover, momentum negative.
  • Bollinger Bands: Price near lower band, indicating oversold conditions.
  • Volume Trends: Current volume (15.7L) above 1-week average (13.4L), showing increased participation at lower levels.

📈 Momentum & Signals

  • Short-term Momentum: Weak with bearish MACD, but RSI near oversold suggests possible rebound.
  • Entry Zone: ₹1,050–₹1,075 (near support).
  • Exit Zone: ₹1,164–₹1,200 (first resistance), ₹1,250 (next resistance).
  • Trend Status: Downtrend with consolidation attempts; reversal only above ₹1,164.

✅ Positive

  • Strong ROE at 18.5% and ROCE at 18.9% show efficient capital use.
  • Quarterly PAT at ₹184 Cr, though lower than previous, remains healthy.
  • PEG ratio at 1.14 suggests reasonable valuation relative to growth.
  • EPS at ₹16.5 reflects profitability.

⚠️ Limitation

  • Stock trading below both 50 DMA and 200 DMA, bearish technical setup.
  • High P/E ratio (63.6) compared to industry PE (25.0), indicating premium valuation.
  • Dividend yield at 0.21% is modest.

📰 Company Negative News

  • PAT declined significantly (₹184 Cr vs ₹339 Cr previous quarter).
  • Stock corrected from 52-week high of ₹1,382 to current ₹1,075.
  • FII holdings decreased by -0.15%, showing reduced foreign investor confidence.

🌟 Company Positive News

  • Quarterly profit variation at 16.7% shows operational resilience despite decline.
  • DII holdings increased by 0.17%, reflecting domestic investor confidence.
  • Strong fundamentals with moderate debt-to-equity ratio (0.38).

🏭 Industry

  • Industry PE at 25.0, much lower than company PE (63.6), indicating UNOMINDA trades at a significant premium.
  • Auto components sector remains strong with demand from EV and mobility solutions.

🔎 Conclusion

  • UNOMINDA is in a downtrend but oversold RSI suggests short-term bounce potential.
  • Short-term traders may consider entry near ₹1,050–₹1,075 with exit around ₹1,164–₹1,200.
  • Breakout above ₹1,200 could trigger reversal towards ₹1,250.
  • Long-term investors should weigh premium valuation against strong fundamentals and sector growth potential.

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