⚠ Disclaimer: This report is generated using AI tools and is for informational purposes only. It does not constitute investment advice. Please consult a registered financial advisor before making any investment decisions.
UPL - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.7
| Stock Code | UPL | Market Cap | 53,313 Cr. | Current Price | 632 ₹ | High / Low | 812 ₹ |
| Stock P/E | 106 | Book Value | 162 ₹ | Dividend Yield | 0.95 % | ROCE | 1.26 % |
| ROE | 8.20 % | Face Value | 2.00 ₹ | DMA 50 | 685 ₹ | DMA 200 | 694 ₹ |
| Chg in FII Hold | 3.31 % | Chg in DII Hold | -1.05 % | PAT Qtr | 39.1 Cr. | PAT Prev Qtr | 416 Cr. |
| RSI | 41.2 | MACD | -26.5 | Volume | 15,34,268 | Avg Vol 1Wk | 17,72,595 |
| Low price | 580 ₹ | High price | 812 ₹ | PEG Ratio | -8.82 | Debt to equity | 0.07 |
| 52w Index | 22.3 % | Qtr Profit Var | -93.7 % | EPS | 25.6 ₹ | Industry PE | 22.2 |
📊 Technical Analysis
- Chart Patterns: Stock is trading below both 50 DMA (₹685) and 200 DMA (₹694), showing weakness. Support at ₹580–₹632, resistance around ₹685–₹700.
- Moving Averages: Current price (₹632) is below both averages, confirming bearish bias.
- RSI: 41.2 — approaching oversold zone, suggesting potential short-term bounce.
- MACD: -26.5 — bearish crossover, momentum negative.
- Bollinger Bands: Price near lower band, indicating oversold conditions.
- Volume Trends: Current volume (15.3L) below 1-week average (17.7L), showing reduced participation.
📈 Momentum & Signals
- Short-term Momentum: Weak with bearish MACD, but RSI near oversold suggests possible rebound.
- Entry Zone: ₹620–₹640 (near support).
- Exit Zone: ₹685–₹700 (first resistance), ₹750 (next resistance).
- Trend Status: Downtrend with consolidation attempts; reversal only above ₹685.
✅ Positive
- EPS at ₹25.6 reflects profitability despite recent decline.
- Dividend yield of 0.95% provides investor incentive.
- Debt-to-equity ratio at 0.07 indicates strong financial stability.
- FII holdings increased by 3.31%, showing foreign investor confidence.
⚠️ Limitation
- Stock trading below both 50 DMA and 200 DMA, bearish technical setup.
- Extremely high P/E ratio (106) compared to industry PE (22.2), indicating overvaluation.
- ROCE at 1.26% and ROE at 8.20% reflect weak efficiency.
📰 Company Negative News
- PAT declined sharply (₹39.1 Cr vs ₹416 Cr previous quarter).
- Stock corrected from 52-week high of ₹812 to current ₹632.
- DII holdings decreased by -1.05%, showing reduced domestic investor confidence.
🌟 Company Positive News
- Quarterly profit variation at -93.7% is concerning, but FII inflows suggest optimism.
- PEG ratio at -8.82 highlights valuation challenges but potential for turnaround if earnings stabilize.
- Strong balance sheet with low debt-to-equity ratio.
🏭 Industry
- Industry PE at 22.2, much lower than company PE (106), indicating UPL trades at a steep premium.
- Agriculture and chemicals sector remains cyclical but supported by global demand trends.
🔎 Conclusion
- UPL is in a downtrend with weak fundamentals and high valuation risk.
- Short-term traders may consider entry near ₹620–₹640 with exit around ₹685–₹700.
- Breakout above ₹700 could trigger reversal towards ₹750.
- Long-term investors should be cautious due to sharp profit decline and overvaluation, despite strong FII interest and low debt levels.