Technical charts indicate bullish consolidation ahead of Q1 results, the analyst observed.

Aditya Birla Money shares are down over 2% on Friday as it gears up to announce its first-quarter (Q1FY26) results.

However, on its technical charts, the stock has shown bullish momentum. 

The charts show the formation of multiple cup-and-handle patterns and a consistent trend of higher lows, indicating a possible breakout, especially if the results are favorable, said SEBI-registered analyst Rohit Mehta.

Aditya Birla Money shares are currently trading down 1.2% at ₹189.87.  

The stock rebounded strongly from its ₹135 - ₹145 support zone and is currently in a healthy accumulation phase, the analyst said. Over the past three months, it has gained 26.79%, having experienced heavy selling pressure prior to the period.

With immediate resistance seen at ₹200, a close above this level could boost the stock toward the ₹250 - ₹275 zone, with all-time high resistance at ₹303.50, Mehta said. Sustained volumes and price strength above ₹200 would confirm a bullish continuation.

On the fundamentals, its promoter stake remained firm at 73.53% between December 2024 and March 2025, while FII and DII holdings remained largely unchanged.

Despite a mixed bag of Q4 results, the company’s longer-term financials remain strong, with a 5-year profit CAGR of 44.2% and a 3-year average ROE of 37.7%, the analyst said. Operational metrics have also improved, with debtor days decreasing to 24 from 35.

However, concerns persist regarding high valuations, with the stock trading at 4.63 times its book value, as well as the lack of dividend payouts. The low interest coverage ratio also warrants caution, Mehta added.

AB Money has shed 30% of its value year-to-date (YTD).

For updates and corrections, email newsroom[at]stocktwits[dot]com<