Current Rating and Its Significance
MarketsMOJO currently assigns National Fittings Ltd a 'Hold' rating, indicating a neutral stance on the stock. This suggests that while the company demonstrates solid attributes, it may not offer significant upside potential relative to its risks at present. Investors are advised to maintain their positions but remain cautious about initiating new investments until further clarity emerges.
Here's How the Stock Looks Today
As of 05 January 2026, National Fittings Ltd holds a Mojo Score of 67.0, placing it firmly in the 'Hold' category. This score reflects a slight decline from the previous 71.0 recorded before 10 Nov 2025, signalling a modest shift in the company’s overall outlook. The stock’s day change is neutral at 0.00%, with a one-year return of 21.81%, indicating respectable performance over the past twelve months.
Quality Assessment
The company’s quality grade is assessed as average. National Fittings Ltd maintains a low debt-to-equity ratio of 0.10 times, which is favourable in terms of financial stability and risk management. The firm has demonstrated healthy long-term growth, with operating profit expanding at an annual rate of 48.91%. Additionally, the company has reported positive results for the last three consecutive quarters, underscoring consistent operational performance. Notably, profit before tax excluding other income for the latest quarter stood at ₹1.60 crores, reflecting a remarkable growth rate of 357.14%. Return on capital employed (ROCE) for the half-year period is robust at 14.43%, while the nine-month profit after tax (PAT) has risen to ₹8.00 crores. These indicators collectively suggest a stable and improving quality profile.
Register here to know the latest call on National Fittings Ltd
- - Fundamental Analysis
- - Technical Signals
- - Peer Comparison
Valuation Perspective
National Fittings Ltd’s valuation is considered very attractive as of 05 January 2026. The stock trades at a price-to-book value of 1.8, which is reasonable when compared to its peers and historical averages. The company’s return on equity (ROE) stands at 10.7%, supporting the notion that the stock is fairly valued relative to the returns it generates. Furthermore, the price/earnings to growth (PEG) ratio is an exceptionally low 0.2, signalling that the stock’s price growth is modest relative to its earnings growth. This valuation profile suggests that the stock may offer value for investors seeking exposure to the iron and steel products sector without paying a premium.
Financial Trend Analysis
The financial trend for National Fittings Ltd remains positive. The company’s operating profit growth rate of 48.91% annually is a strong indicator of expanding profitability. The consistent positive quarterly results, including a 357.14% increase in profit before tax excluding other income, demonstrate operational momentum. The rise in PAT to ₹8.00 crores over nine months further confirms the company’s improving earnings trajectory. These trends suggest that the company is on a solid financial footing, with growth prospects that support the current 'Hold' rating.
Technical Outlook
From a technical standpoint, the stock exhibits a mildly bullish trend. While short-term price movements have been mixed — with a 1-week decline of 1.12% and a 3-month drop of 4.79% — the one-year return of 21.81% reflects underlying strength. The stock’s recent month-to-date gain of 3.54% and a modest year-to-date decline of 0.53% indicate some volatility but no clear bearish signals. This technical profile aligns with the 'Hold' rating, suggesting that investors should monitor price action closely for clearer directional cues.
Stock Performance Summary
As of 05 January 2026, National Fittings Ltd’s stock performance shows a mixed but generally positive picture. The one-year return of 21.81% is commendable, especially when paired with a doubling of profits by 107.3% over the same period. However, shorter-term fluctuations, including a 6-month decline of 3.39%, advise caution. The stock’s valuation and financial strength provide a cushion against volatility, but investors should weigh these factors carefully in the context of their portfolio objectives.
Our latest monthly pick, this Small Cap from Oil Exploration/Refineries, is showing strong performance since announcement! See why our Investment Committee chose it after screening 50+ candidates.
- - Investment Committee approved
- - 50+ candidates screened
- - Strong post-announcement performance
What This Rating Means for Investors
The 'Hold' rating on National Fittings Ltd advises investors to maintain their current positions without adding significant new exposure at this time. The company’s solid fundamentals, attractive valuation, and positive financial trends provide a stable foundation, but the mildly bullish technical signals and recent score adjustment suggest that upside potential may be limited in the near term. Investors should continue to monitor quarterly results and market conditions closely, as any material changes in earnings growth or valuation could warrant a reassessment of the rating.
In summary, National Fittings Ltd presents a balanced investment case as of 05 January 2026. Its low leverage, strong profit growth, and reasonable valuation make it a viable holding within the iron and steel products sector. However, the current market environment and technical indicators counsel a cautious approach, reflected in the 'Hold' recommendation.
Only Rs. 9,999 - Get MojoOne + Stock of the Week for 1 Year (MRP = Rs. 34,999) Start Today
