Price Momentum and Recent Market Performance
On 4 Feb 2026, Vadilal Industries Ltd’s share price surged to ₹4,708 from the previous close of ₹4,411.45, marking a robust single-day increase of 6.72%. The stock traded within a range of ₹4,533 to ₹4,727.05, demonstrating intraday volatility but closing near the upper band. This price action contrasts with the stock’s 52-week high of ₹7,398.95 and a low of ₹3,496.05, indicating that while the stock remains below its peak, it has rebounded strongly from its lows.
Comparatively, Vadilal’s returns have outpaced the Sensex over multiple time horizons. The stock posted a 12.6% gain over the past week versus the Sensex’s 2.3%, though it lagged slightly over the past month with a -3.52% return compared to the Sensex’s -2.36%. Year-to-date, the stock is down 4.53%, underperforming the Sensex’s -1.74%. However, over longer periods, Vadilal has delivered impressive gains, with a 20.55% return over one year against the Sensex’s 8.49%, and a remarkable 480.09% over five years compared to the Sensex’s 66.63%. This long-term outperformance highlights the company’s growth trajectory despite recent volatility.
Technical Indicator Analysis: Mixed Signals
The technical landscape for Vadilal Industries Ltd is nuanced, with several key indicators signalling divergent trends. The overall technical trend has shifted from bearish to mildly bearish, reflecting a tentative improvement but still cautionary stance.
MACD (Moving Average Convergence Divergence): The MACD remains bearish on the weekly chart, indicating that the short-term momentum is still under pressure. On the monthly chart, the MACD is mildly bearish, suggesting some easing of downward momentum but no definitive bullish reversal yet. This divergence between weekly and monthly MACD readings points to a potential consolidation phase rather than a clear trend change.
RSI (Relative Strength Index): Both weekly and monthly RSI readings currently show no clear signal, hovering in neutral territory. This lack of momentum extremes implies the stock is neither overbought nor oversold, which could precede a directional move but does not confirm one.
Bollinger Bands: The weekly Bollinger Bands indicate a mildly bearish stance, with the price near the lower band suggesting some downside risk. Conversely, the monthly Bollinger Bands are bullish, reflecting longer-term upward pressure and potential for price expansion. This contrast highlights the importance of timeframe in technical analysis for Vadilal.
Moving Averages: Daily moving averages remain bearish, signalling that short-term price action is still trending lower relative to recent averages. This bearishness on the daily chart tempers optimism from other indicators and suggests that any rally may face resistance.
KST (Know Sure Thing): The KST indicator is bearish on the weekly chart and mildly bearish on the monthly chart, reinforcing the view of subdued momentum with a slight bias towards downside risk.
Dow Theory: Weekly Dow Theory readings are mildly bullish, indicating some confirmation of upward price movement in the short term. However, the monthly Dow Theory shows no clear trend, reflecting uncertainty in the broader market context for Vadilal.
On-Balance Volume (OBV): Both weekly and monthly OBV indicators show no discernible trend, suggesting that volume is not currently confirming price moves. This lack of volume support may limit the sustainability of recent price gains.
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MarketsMOJO Rating and Market Capitalisation Assessment
MarketsMOJO has downgraded Vadilal Industries Ltd from a Hold to a Sell rating as of 5 Dec 2025, reflecting a reassessment of the company’s risk-reward profile amid evolving technical conditions. The current Mojo Score stands at 37.0, categorised as Sell, signalling weak overall fundamentals and technical outlook. This downgrade is significant given the previous Hold rating, indicating increased caution among analysts.
The company’s Market Cap Grade is 3, suggesting a mid-tier market capitalisation relative to its FMCG peers. This grade reflects moderate liquidity and size but may limit institutional interest compared to larger FMCG companies. The downgrade and modest market cap grade together imply that investors should carefully weigh the risks before committing capital.
Sector and Industry Context
Operating within the FMCG sector, Vadilal Industries faces competitive pressures and evolving consumer trends that impact its stock performance. The FMCG sector generally benefits from steady demand, but individual companies can experience volatility due to input cost fluctuations, regulatory changes, and shifting consumer preferences. Vadilal’s recent technical signals and rating downgrade suggest that it may be encountering headwinds not fully reflected in broader sector indices.
Investors should consider these sector dynamics alongside the company’s technical and fundamental indicators when evaluating potential entry or exit points.
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Investor Takeaway and Outlook
Vadilal Industries Ltd’s recent price momentum shift, highlighted by a strong intraday gain, offers a glimmer of optimism. However, the mixed technical signals and a downgrade to Sell by MarketsMOJO counsel prudence. The bearish daily moving averages and weekly MACD suggest that short-term risks remain elevated, while the mildly bullish monthly Bollinger Bands and Dow Theory readings hint at potential longer-term recovery.
Investors should monitor key technical levels closely, particularly the 52-week high of ₹7,398.95 as a resistance benchmark and the 52-week low of ₹3,496.05 as support. Confirmation of a sustained uptrend would require improvement in volume indicators such as OBV and a bullish crossover in MACD and RSI readings.
Given the current technical and fundamental landscape, a cautious approach is advisable. Investors with a higher risk tolerance may consider selective accumulation on dips, while more conservative market participants might await clearer confirmation of trend reversal before increasing exposure.
Overall, Vadilal Industries Ltd remains a stock with significant long-term growth demonstrated by its 10-year return of 800.19%, vastly outperforming the Sensex’s 245.70%. Yet, near-term technical challenges and a Sell rating highlight the need for careful analysis and risk management.
Summary of Key Technical Metrics:
- Current Price: ₹4,708.00 (up 6.72% on 4 Feb 2026)
- MACD: Weekly Bearish, Monthly Mildly Bearish
- RSI: Neutral (No Signal) on Weekly and Monthly
- Bollinger Bands: Weekly Mildly Bearish, Monthly Bullish
- Moving Averages: Daily Bearish
- KST: Weekly Bearish, Monthly Mildly Bearish
- Dow Theory: Weekly Mildly Bullish, Monthly No Trend
- OBV: No Trend on Weekly and Monthly
- Mojo Score: 37.0 (Sell), downgraded from Hold on 5 Dec 2025
- Market Cap Grade: 3 (Mid-tier)
Investors should integrate these technical insights with fundamental analysis and sector outlook to make informed decisions regarding Vadilal Industries Ltd.
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