DMart Breaks Out After Months of Accumulation — Is the Trend Reversing?

Technical Breakout: After forming a Triple Bottom between ₹3,350–₹3,490, DMart has given a decisive breakout above the neckline at ₹4,080–₹4,150. It’s now trading above key EMAs (9, 70, 100), with RSI at 67.5, suggesting strong bullish momentum. 📌 Next Resistance: ₹4,229 → ₹4,440 → ₹4,545 → ₹4,600 📌 Target Zone: ₹4,800–₹5,000 (measured move projection) 📌 Support to Watch: ₹4,080–₹4,150; breakdown could lead to ₹3,860 or ₹3,750 Business Overview:

, under Avenue Supermarts, remains a leader in value retail, focused on essentials like Food (56%), FMCG (21%), and Apparel/General Merchandise (23%). 🏬 383 stores as of Nov 2024, with continued cluster-based expansion 📈 H1 FY25 sales per sq ft at ₹34,460, up from ₹27,454 in FY22 🛒 DMart Ready (e-comm) up 21.8% YoY, now across 23 cities 📋 Q3 FY25 Revenue: ₹15,973 Cr | Net Profit: ₹724 Cr ⚙️ Operating margins steady at 8–9%, EPS at ₹11.12 Financial Strength & Valuation: 💰 Debt-to-equity: 0.04 | Current Ratio: 2.99 | ROCE: 19.4% 📉 Stock has underperformed with -12.9% return in 1Y 🔍 P/E: 99.4 | EV/EBITDA: 58.7 | PEG: 4.33 Outlook: DMart’s fundamentals stay strong, with consistent growth and a disciplined expansion strategy. The technical breakout aligns with its improving performance. Sustaining above ₹4,150 can push the stock toward ₹4,800–₹5,000 in the coming months. Disclaimer: Investing involves risks. Please review all relevant information before making decisions. Past performance does not guarantee future results. I, or my family, associates, or relatives, may have a financial interest in the securities mentioned.