Religare Enterprises Gains 0.79%: 4 Key Factors Driving the Week’s Mixed Momentum

29 December 2025: Mixed Technical Momentum Signals

Religare Enterprises began the week with a decline of 1.39%, closing at Rs.243.90 on 29 December 2025, underperforming the Sensex which fell 0.41% to 37,140.23. The stock’s technical momentum shifted from mildly bullish to sideways, reflecting uncertainty in near-term price direction. Key indicators such as MACD and RSI showed mixed signals, with weekly MACD turning bearish while daily moving averages remained mildly bullish. The stock traded within a narrow range, signalling consolidation amid volatility in the NBFC sector.

Despite the sideways trend, the On-Balance Volume (OBV) suggested mild accumulation, hinting at some underlying support. However, the broader technical landscape indicated caution, with the stock hovering near its lower Bollinger Band on weekly charts, signalling potential downside risk or consolidation.

30 December 2025: Downgrade to Sell Amid Weakness and Flat Financials

The following day, Religare Enterprises was downgraded from a Hold to a Sell rating by MarketsMOJO, with the Mojo Score dropping to 37.0. This downgrade was driven by deteriorating technical indicators and flat recent financial performance. The stock declined further by 1.44% to Rs.240.40, while the Sensex remained nearly flat, down 0.01% at 37,135.83.

Financially, the company reported flat profit after tax of Rs.49.05 crores for the latest six months, a 29.25% decline year-on-year, and modest return on equity of 3.6%. Valuation metrics were mixed, with a price-to-book ratio of 2.8 considered expensive relative to historical levels but trading at a discount to peers. Institutional investor holdings also declined, signalling reduced confidence. These factors combined to weigh heavily on the stock’s near-term outlook.

30 December 2025: Technical Momentum Shifts to Bearish

On the same day, technical analysis confirmed a shift to a mildly bearish stance. The stock’s price closed at Rs.242.80, down 1.84% from the previous close, with intraday volatility between Rs.242.80 and Rs.247.30. Weekly MACD crossed below its signal line, and Bollinger Bands indicated selling pressure near the lower band. The RSI remained neutral, suggesting indecision, while daily moving averages showed mild bullishness, highlighting short-term support amid broader weakness.

The Know Sure Thing (KST) oscillator and Dow Theory assessments aligned with bearish momentum, while the On-Balance Volume (OBV) showed mild bullishness monthly, indicating some longer-term accumulation. Despite these mixed signals, the overall technical outlook was cautious, with the stock closer to its 52-week low of Rs.202.45 than its high of Rs.314.15.

1 January 2026: Technical Momentum Shifts to Sideways Amid Mixed Signals

Religare Enterprises rebounded on 1 January 2026, gaining 0.28% to close at Rs.248.10, outperforming the Sensex which rose 0.14%. The technical momentum shifted from mildly bearish to sideways, reflecting consolidation. The MACD remained bearish on weekly and monthly charts, while the Know Sure Thing (KST) oscillator echoed this cautious stance. RSI continued to show neutral readings, and Bollinger Bands presented a bearish weekly but sideways monthly pattern.

Daily moving averages turned mildly bullish, supported by On-Balance Volume (OBV) trends indicating slight accumulation. Dow Theory assessments showed no clear weekly trend but a mildly bearish monthly outlook. This complex interplay of indicators suggests the stock is in a consolidation phase, with neither bulls nor bears firmly in control.

2 January 2026: Modest Gains Continue Amid Mixed Market Conditions

The week closed on a positive note with Religare Enterprises gaining 0.48% to Rs.249.30, while the Sensex surged 0.81% to 37,799.57. The stock’s volume remained moderate at 11,477 shares, reflecting steady investor interest. Despite the modest gains, the stock underperformed the Sensex’s weekly advance of 1.35%, highlighting ongoing challenges in regaining strong upward momentum.

Technical indicators continued to present a mixed picture, with short-term moving averages mildly bullish but longer-term momentum oscillators remaining cautious. The sideways trend suggests consolidation, with investors awaiting clearer signals before committing to significant positions.

Key Takeaways

Positive Signals: Despite a downgrade to Sell, Religare Enterprises showed resilience with a 0.79% weekly gain and mild accumulation signals from On-Balance Volume. Daily moving averages turned mildly bullish late in the week, suggesting short-term support. The stock’s long-term operating profit growth remains strong, with a 26.73% CAGR, reflecting underlying business strength.

Cautionary Signals: Technical momentum remains mixed to bearish, with weekly and monthly MACD and KST oscillators signalling weakness. The downgrade to Sell reflects deteriorating technical and fundamental conditions, including flat recent financials and declining institutional interest. The stock underperformed the Sensex’s 1.35% weekly gain, highlighting relative weakness. Valuation remains expensive relative to historical levels, and the stock trades closer to its 52-week low than its high.

Conclusion

Religare Enterprises Ltd’s week was characterised by a complex interplay of technical and fundamental factors. The stock experienced a shift from sideways to mildly bearish momentum early in the week, followed by a downgrade to Sell amid flat financial performance and weakening technical indicators. However, modest gains in the latter part of the week and signs of accumulation suggest some short-term support.

While the stock’s long-term fundamentals remain robust, near-term risks persist due to mixed technical signals and valuation concerns. Investors should approach the stock with caution, monitoring key support levels near Rs.202.45 and resistance around recent highs near Rs.249.30. The sideways trend indicates consolidation, and a decisive break in either direction will be critical for future price action.

Only Rs. 9,999 - Get MojoOne + Stock of the Week for 1 Year (MRP = Rs. 34,999) Start Saving Now →