Maruti Suzuki India Ltd

NSE :MARUTI   BSE :532500  Sector : Automobile

About Company: The Company was established in 1981. A joint venture agreement was signed between the Government of India and Suzuki Motor Corporation (SMC), Japan in 1982. The Company became a subsidiary of SMC in 2002. It is the market leader in passenger vehicle segment in India. In terms of production volume and sales, the Company is now SMC’s largest subsidiary. SMC currently holds 56.28% of its equity stake. The principal activities of the Company are manufacturing, purchase and sale of motor vehicles, components and spare parts.

New in Maruti Suzuki Share: The country’s largest car maker Maruti Suzuki India Limited on January 25 reported a standalone net profit of Rs 1,011 crore for the third quarter ended last December, down 48 percent from Rs 1,941 crore, it reported a year ago. The company’s net profit stood at Rs 475 crore in the previous quarter. Standalone revenues for the Gurgaon-based carmaker stood at Rs 23,246 crore, down 1 percent, compared to Rs 23,458 crore reported in a year back. The preceding quarter saw the topline at Rs 20,538 crore.

Weekly Chart of Maruti Suzuki India Ltd.:

Technical Outlook of Maruti Suzuki India Ltd:

On 25th Jan 2022 Share prices of Maruti gained 6.83% or Rs.550.30 per share. Stock opened down more than 1% today and consolidation was seen during the day. In Intraday stock breakout of range and huge rally was seen from 8160 to 8664. Today company declared December 2021 quarterly results today.

On Weekly charts we observed upwards sloping trendline breakout in the stock, also price pattern formed inverse head and shoulder pattern on weekly chart. For further research we plotted Fibonacci Retrenchment from all time high of 9996.40 to low of 4001.10 and found that stock is approaching 0.768% Fibonacci level of 8713.40. RSI (Relative Strength Index) is approaching 70 level which is considered to be over bought zone.

In Maruti Suzuki India Ltd. we suggest long term investors to accumulate stock on correction till 8100 level, we recommend not to buy stock at current levels. We need stock to consolidate in the zone of 8100-8700 before we see another leg of rally in the stock. On the other hand, if stock closes above 8750 short term traders can take long position in the stock for the Target of 9100 & 9450, Stoploss should be maintained below 8100.

Check More Analysis on Maruti at: Maruti Suzuki India Ltd