ZEEL - Technical Analysis with Chart Patterns & Indicators

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

Technical Rating: 2.9

📉 ZEEL is currently in a reversal phase with oversold indicators and weakening price action. Entry zone: ₹95–₹101; exit zone: ₹112–₹120. Watch for RSI crossing 35 and MACD flattening to confirm a potential bounce.

📊 Technical Overview

• Price Action: Trading at ₹101, below both 50-DMA (₹112) and 200-DMA (₹121), indicating short- and medium-term weakness.
• RSI (27.9): Deeply oversold, suggesting potential for technical rebound.
• MACD (-3.33): Bearish crossover, confirming downward momentum.
• Bollinger Bands: Price near lower band, indicating oversold conditions with possible support.
• Volume: Below 1-week average, showing weak participation and low conviction.
• Support Zones: ₹95 (S1), ₹89.3 (S2)
• Resistance Zones: ₹112 (R1), ₹120 (R2)

✅ Positive

• Dividend yield of 2.42% offers attractive income potential.
• FII holdings increased (+0.62%), showing foreign investor interest.
• Debt-to-equity ratio of 0.03 reflects strong financial discipline.
• Book value of ₹111 is higher than current price, suggesting undervaluation.

⚠️ Limitation

• Stock P/E (18.0) is slightly below industry average (21.0), indicating cautious valuation.
• PEG ratio of -0.99 suggests poor earnings growth relative to valuation.
• ROCE (9.83%) and ROE (7.58%) reflect modest capital efficiency.
• Price trading well below key moving averages confirms bearish bias.

📉 Company Negative News

• Quarterly PAT dropped from ₹112 Cr. to ₹78.3 Cr., a 73.8% decline.
• DII holdings declined (-2.83%), reflecting reduced domestic investor confidence.

📈 Company Positive News

• MACD and RSI nearing reversal zones, suggesting potential bottoming out.
• Price has rebounded ~13% from its 52-week low of ₹89.3.

🏢 Industry

• Media and entertainment sector benefits from digital expansion and rising content consumption.
• Industry P/E of 21.0 reflects moderate valuation across peers.

🧭 Conclusion

• ZEEL is in a reversal phase with weak technical indicators and modest fundamentals.
• Entry zone: ₹95–₹101; exit zone: ₹112–₹120 for short-term bounce trades.
• Long-term investors should wait for trend reversal confirmation and earnings consistency before accumulating.