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UTIAMC - Technical Analysis with Chart Patterns & Indicators

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Rating: 3

Last Updated Time : 02 Feb 26, 10:12 am

Technical Rating: 3.0

Stock Code UTIAMC Market Cap 12,712 Cr. Current Price 987 ₹ High / Low 1,495 ₹
Stock P/E 17.8 Book Value 276 ₹ Dividend Yield 2.64 % ROCE 23.7 %
ROE 17.5 % Face Value 10.0 ₹ DMA 50 1,101 ₹ DMA 200 1,184 ₹
Chg in FII Hold -0.35 % Chg in DII Hold 0.29 % PAT Qtr 207 Cr. PAT Prev Qtr 166 Cr.
RSI 34.5 MACD -41.0 Volume 56,521 Avg Vol 1Wk 1,40,547
Low price 905 ₹ High price 1,495 ₹ PEG Ratio 1.11 Debt to equity 0.00
52w Index 13.8 % Qtr Profit Var 45.3 % EPS 49.2 ₹ Industry PE 25.3

📊 Chart Patterns: UTIAMC is trading at 987 ₹, below both 50 DMA (1,101 ₹) and 200 DMA (1,184 ₹). The price has corrected sharply from its 52-week high (1,495 ₹) and is consolidating near its 52-week low (905 ₹), reflecting weak momentum.

📈 Moving Averages: Current price is under both short-term and long-term averages, confirming bearish sentiment. A breakout above 1,100–1,120 ₹ could indicate recovery, while failure to hold 970–980 ₹ may trigger further downside.

📉 RSI: At 34.5, RSI indicates weak momentum, leaning towards oversold territory and suggesting potential short-term support.

📉 MACD: Strongly negative at -41.0, showing bearish divergence and lack of buying strength.

📊 Bollinger Bands: Price is near the lower band, indicating oversold conditions and possible short-term rebound.

📊 Volume Trends: Current volume (56k) is significantly lower than average weekly volume (1.40 lakh), suggesting reduced participation and cautious sentiment.

📌 Momentum Signals: Short-term momentum remains bearish. Support lies around 970–980 ₹, while resistance is near 1,100–1,120 ₹.

🎯 Entry Zone: 970–990 ₹ (near support, only for short-term traders with strict stop-loss).

🎯 Exit Zone: 1,100–1,120 ₹ (near 50 DMA resistance).

🔎 Trend Status: The stock is consolidating with bearish bias, awaiting breakout direction.


Positive

  • EPS of 49.2 ₹ indicates strong profitability.
  • ROCE (23.7%) and ROE (17.5%) reflect efficient capital usage.
  • Quarterly PAT improved from 166 Cr. to 207 Cr. (45.3% growth).
  • DII holdings increased by 0.29%, showing domestic institutional support.
  • Dividend yield of 2.64% provides shareholder returns.

Limitation

  • Stock trading below both 50 DMA and 200 DMA shows weak technical strength.
  • MACD remains strongly negative, showing weak momentum.
  • 52-week performance index at 13.8% reflects underperformance.
  • High P/E ratio (17.8) compared to industry PE (25.3) suggests limited upside.

Company Negative News

  • FII holdings decreased by -0.35%, showing reduced foreign investor confidence.
  • Stock price corrected sharply from 1,495 ₹ high to current levels.

Company Positive News

  • Quarterly PAT growth signals strong operational improvement.
  • DII holdings increased, reflecting domestic institutional support.

Industry

  • Industry PE at 25.3 suggests sector trades at moderate valuations compared to UTIAMC’s P/E of 17.8.
  • Asset management sector remains resilient with long-term demand outlook.

Conclusion

⚠️ UTIAMC is consolidating with a bearish bias, trading below key moving averages and showing weak momentum. Oversold RSI suggests potential short-term support. Short-term traders may consider entry near 970–990 ₹ with strict stop-loss, targeting 1,100–1,120 ₹ resistance. Long-term investors should wait for a breakout above 1,101 ₹ (50 DMA) with sustained volume before fresh positions.

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