CDSL Shares May Be Set For A Bounce: After Earnings Miss, SEBI RA Anupam Bajpai Sees Short-Term Upside

The analyst noted that the stock may be entering a short-term recovery phase after triggering an oversold signal on the Bollinger Bands.

CDSL is showing signs of stabilizing after a sharp and continuous decline, exacerbated by weak quarterly results released on Monday.

The company reported a net profit of ₹102.40 crore for the June 2025 quarter, a 23.7% decrease from ₹134.16 crore in the same period last year. Revenue from operations was almost flat, ticking up just 0.55% year-on-year to ₹258.81 crore. 

Total revenue for the quarter came in at ₹259.64 crore, slightly higher than the ₹257.43 crore posted a year ago, and up from ₹224.74 crore in the previous quarter.

SEBI-registered analyst Anupam Bajpai noted that the stock may be entering a short-term recovery phase following an oversold signal.

Bajpai pointed out that on Monday, CDSL formed a candlestick entirely outside the lower Bollinger Band, which is a technical setup that often signals oversold conditions. 

On Tuesday, the stock gained 1.6%, suggesting buying interest at lower levels. 

He added that on July 22, the stock attempted a rebound but was rejected near the 20-day moving average, which now stands around ₹1700 and serves as a key near-term resistance. 

If the stock can break above ₹1700 and stay there, especially with strong volume, it could be a sign that the trend is starting to turn.

On the flip side, Bajpai said the ₹1500 level, where the 200-day moving average sits, should act as a strong cushion. It’s a level that often draws interest from long-term and institutional buyers. 

As long as the stock holds above that support and continues to build momentum, Bajpai believes a short-term bounce is still on the table.

On Stocktwits, retail sentiment was ‘neutral’ amid ‘high’ message volume.

CDSL’s stock has declined 15.4% so far in 2025.

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