Shares of Tata Technologies Ltd fell to its all-time low today amid a rally in the broader market. The Tata Group stock fell 1.03% to a fresh low of Rs 883.55 against the previous close of Rs 892.80 on BSE. The stock of Tata Group’s global engineering services firm fell below the Rs 900 mark for the second straight session today.
In the current session, the stock ended 0.33% lower at Rs 889.85 against the previous close of Rs 889.95 on BSE. Total 0.42 lakh shares of the firm changed hands amounting to a turnover of Rs 3.73 crore. Market cap of the firm slipped to Rs 36,098 crore on BSE.
Tata Technologies stock has a beta of 0.6, indicating very low volatility in a year.
In terms of technicals, the relative strength index (RSI) of Tata Technologies stands at 22.5, signaling it's trading in the oversold zone. Tata Technologies shares have turned bearish both in the short term and the long term. The Tata Group stock is trading lower than the 5 day, 10 day, 20 day, 30 day, 50 day, 100 day, 150 day and 200 day moving averages.
AR Ramachandran, SEBI registered Independent analyst said, "Tata Technologies stock price is bearish but also very oversold on the Daily charts with strong resistance at Rs 920. Investors should buy only if daily close is above mentioned resistance for the target of Rs 1016. Next support will be at Rs 832."
Hardik Matalia, Derivative Analyst, Choice Broking said, "Tata Technologies is continuing its bearish trend since listing a year ago. The stock has consistently formed lower highs and lower lows on the daily chart, signaling sustained downward momentum. Additionally, it is trading below all key moving averages, including short-term, medium-term, and long-term, reinforcing the weakness in its technical structure. Given the prevailing trend, fresh buying is not advisable at current levels. Investors holding long positions should consider exiting on any bounce, as the overall sentiment remains negative. The RSI is at 21.52, deep in the oversold zone, suggesting a potential technical rebound in the near term. However, this bounce should be viewed as an opportunity to minimize losses rather than a trend reversal. The stock's outlook remains weak as it lacks bullish confirmation from both price action and indicators. Even though the oversold RSI suggests a short-term bounce, the broader downtrend and trading below all major moving averages highlight structural weakness. Traders should closely monitor price movements around key resistance levels to gauge if any bounce has sufficient momentum. Until there is a clear trend reversal supported by any price action on the daily chart, caution is warranted."
Jigar S Patel, Technical Research Analyst, Anand Rathi Shares said, "Support will be at Rs 865 and resistance at Rs 935. A decisive move above the Rs 935 level may trigger a further upside of Rs 970. The expected trading range will be between Rs 865 to Rs 970 in the short-term."
Tata Technologies is an global engineering services company. The company offers product development and digital solutions, including turnkey solutions, to global original equipment manufacturers (OEMs) and their tier one suppliers.
In second quarter of the current fiscal, the company reported a 2% fall in profit to Rs 157 crore against Rs 160 crore profit on a year-on-year basis. Revenue from operations surged 2% to Rs 1,296 crore in Q2 against Rs 1,269 crore in the corresponding quarter of the previous fiscal.
The stock made its market debut on November 30, 2023. The Tata Group stock listed at Rs 1,200, a premium of 140 per cent, over its IPO issue price Rs 500 on the National Stock Exchange. The Tata Motors promoted entity listed at a premium of 140 per cent at Rs 1199.95 against the IPO issue price on BSE.
Meanwhile, Sensex and Nifty snapped five sessions of losing streak today. Sensex gained 498 pts to 78,540 and Nifty added 166 points to 23,753 on Monday.