⚠ 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.
VOLTAS - Technical Analysis with Chart Patterns & Indicators
Back to ListTechnical Rating: 3.8
| Stock Code | VOLTAS | Market Cap | 47,053 Cr. | Current Price | 1,423 ₹ | High / Low | 1,582 ₹ |
| Stock P/E | 95.8 | Book Value | 243 ₹ | Dividend Yield | 0.49 % | ROCE | 12.7 % |
| ROE | 9.79 % | Face Value | 1.00 ₹ | DMA 50 | 1,447 ₹ | DMA 200 | 1,408 ₹ |
| Chg in FII Hold | -1.85 % | Chg in DII Hold | 2.12 % | PAT Qtr | 59.7 Cr. | PAT Prev Qtr | 7.33 Cr. |
| RSI | 43.9 | MACD | -11.0 | Volume | 4,69,161 | Avg Vol 1Wk | 8,65,406 |
| Low price | 1,172 ₹ | High price | 1,582 ₹ | PEG Ratio | 10.2 | Debt to equity | 0.17 |
| 52w Index | 61.2 % | Qtr Profit Var | -44.9 % | EPS | 14.5 ₹ | Industry PE | 43.3 |
📊 Technical Analysis
- Chart Patterns: Price is below 50 DMA (₹1,447) but slightly above 200 DMA (₹1,408), showing mixed signals.
- RSI: At 43.9, leaning towards oversold territory, suggesting possible support but still weak.
- MACD: Negative (-11.0), confirming bearish momentum.
- Bollinger Bands: Price near lower band, indicating selling pressure.
- Volume Trends: Current volume (4.69L) below 1-week average (8.65L), showing reduced participation.
📈 Momentum & Signals
- Short-term Momentum: Weak, bearish bias.
- Support Zone: ₹1,408 – ₹1,423 (near 200 DMA and current price).
- Resistance Zone: ₹1,447 – ₹1,470 (near 50 DMA).
- Optimal Entry: Around ₹1,408–₹1,423 if support holds.
- Optimal Exit: Near ₹1,447–₹1,470 unless breakout occurs.
- Trend Status: Consolidating with bearish undertone.
✅ Positive
- Strong ROCE (12.7%) and ROE (9.79%).
- Dividend yield of 0.49%, providing shareholder value.
- Quarterly PAT improved significantly from ₹7.33 Cr. to ₹59.7 Cr.
⚠️ Limitation
- High P/E (95.8) compared to industry average (43.3).
- PEG ratio of 10.2 indicates overvaluation.
- Stock trading below 50 DMA, showing short-term weakness.
📉 Company Negative News
- FII holding decreased (-1.85%), showing reduced foreign investor confidence.
- Quarterly profit variation (-44.9%) indicates margin pressure despite PAT improvement.
📈 Company Positive News
- DII holding increased (+2.12%), strong domestic institutional support.
- EPS at ₹14.5, showing consistent earnings base.
🏭 Industry
- Industry P/E at 43.3, much lower than company’s 95.8, suggesting sector is cheaper.
- Sector growth strong with 61.2% index gain in 52 weeks.
🔎 Conclusion
VOLTAS is consolidating with bearish undertones, trading below 50 DMA but slightly above 200 DMA. Despite strong fundamentals like ROCE, ROE, and improved PAT, valuations remain stretched compared to industry peers. Short-term traders should watch ₹1,408–₹1,423 as support and ₹1,447–₹1,470 as resistance. The stock is currently consolidating, and sustained movement above ₹1,470 would be needed to signal recovery.