New Delhi Television Ltd is Rated Strong Sell

Understanding the Current Rating

The Strong Sell rating assigned to New Delhi Television Ltd indicates a cautious stance for investors, signalling that the stock is expected to underperform relative to the broader market and peers. This recommendation is grounded in a comprehensive evaluation of four key parameters: Quality, Valuation, Financial Trend, and Technicals. Each of these factors contributes to the overall assessment of the company’s investment appeal and risk profile.

Quality Assessment

As of 12 January 2026, New Delhi Television Ltd’s quality grade is categorised as below average. This reflects ongoing challenges in the company’s fundamental strength. The firm currently reports a negative book value, which is a critical indicator of weak long-term financial health. Additionally, the company’s ability to service its debt remains strained, with an average EBIT to interest ratio of just 0.82. This suggests that operating earnings are insufficient to comfortably cover interest expenses, raising concerns about financial stability and credit risk.

Valuation Perspective

The valuation grade for New Delhi Television Ltd is deemed risky. The stock is trading at levels that imply elevated risk compared to its historical averages. Investors should note that the company’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) remain negative, which undermines valuation multiples and heightens uncertainty around future profitability. The stock’s recent price movements have not been supported by improving fundamentals, making it a speculative proposition at current levels.

Financial Trend Analysis

The financial trend for the company is very negative. The latest data as of 12 January 2026 shows that New Delhi Television Ltd has declared losses for 11 consecutive quarters, signalling persistent operational difficulties. Operating cash flow for the year stands at a low of ₹-144.37 crores, while profit before tax excluding other income for the latest quarter is ₹-75.38 crores. Net losses after tax for the quarter amount to ₹-74.11 crores. These figures highlight a deteriorating earnings profile and cash flow stress, which weigh heavily on investor confidence.

Technical Outlook

From a technical standpoint, the stock is rated as mildly bearish. Price action over recent periods has been volatile, with the stock posting a 1-day gain of 2.95% but showing negative returns over longer horizons: -8.53% over one week, -13.24% over three months, and -23.90% over the past year. This trend indicates a lack of sustained upward momentum and suggests that market sentiment remains cautious. The stock has also consistently underperformed the BSE500 benchmark index over the last three years, reinforcing the bearish technical narrative.

Performance and Returns

As of 12 January 2026, New Delhi Television Ltd’s stock returns reflect a challenging environment for investors. The year-to-date return is -4.99%, while the one-year return stands at -23.90%. Over the past six months, the stock has declined by 23.41%, underscoring the ongoing pressure on the company’s market valuation. These returns are compounded by the company’s deteriorating profitability, with profits falling by 122.1% over the last year, further justifying the cautious rating.

Long-Term Fundamental Concerns

The company’s negative book value and weak debt servicing capacity point to structural issues that are unlikely to be resolved in the near term. The persistent negative operating cash flows and losses indicate that the business is struggling to generate sustainable earnings. This weak fundamental base is a key reason why the stock is rated as a Strong Sell, signalling that investors should approach with caution or consider alternative opportunities with stronger financial health.

What This Rating Means for Investors

For investors, the Strong Sell rating on New Delhi Television Ltd serves as a clear cautionary signal. It suggests that the stock currently carries significant downside risk and may not be suitable for those seeking capital preservation or growth. The combination of weak fundamentals, risky valuation, negative financial trends, and bearish technical indicators implies that the company faces considerable headwinds. Investors should carefully evaluate their risk tolerance and consider whether exposure to this stock aligns with their portfolio objectives.

Sector and Market Context

Operating within the Media & Entertainment sector, New Delhi Television Ltd’s struggles stand out amid a competitive and rapidly evolving industry landscape. The company’s microcap status further adds to liquidity concerns and volatility risks. Compared to broader market indices such as the BSE500, the stock’s consistent underperformance over multiple years highlights the challenges it faces in regaining investor favour and market share.

Summary of Key Metrics as of 12 January 2026

To summarise, the stock’s key metrics paint a challenging picture:

• Mojo Score: 6.0 (Strong Sell)


• Quality Grade: Below Average


• Valuation Grade: Risky


• Financial Grade: Very Negative


• Technical Grade: Mildly Bearish


• Market Cap: Microcap


• Returns: 1Y -23.90%, 6M -23.41%, 3M -13.24%


• Operating Cash Flow (Yearly): ₹-144.37 crores


• Profit Before Tax (Quarterly): ₹-75.38 crores


• Profit After Tax (Quarterly): ₹-74.11 crores

These figures underscore the rationale behind the current Strong Sell rating and provide a comprehensive basis for investor decision-making.

Looking Ahead

While the current outlook remains challenging, investors should continue to monitor the company’s quarterly results and any strategic initiatives aimed at improving profitability and cash flow. Any meaningful turnaround in fundamentals or valuation could prompt a reassessment of the rating in the future. Until then, the Strong Sell recommendation reflects the prevailing risks and uncertainties surrounding New Delhi Television Ltd.

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