Rating Overview and Context
On 11 Dec 2025, Share India Securities Ltd’s rating was revised from 'Sell' to 'Hold' by MarketsMOJO, accompanied by a significant improvement in its Mojo Score from 37 to 52. This shift indicates a more neutral stance on the stock, suggesting that while it may not be a strong buy, it is no longer considered a sell. The 'Hold' rating reflects a balanced view of the company’s prospects, signalling to investors that the stock warrants cautious consideration given its current attributes.
It is important to note that all financial data, returns, and fundamental indicators referenced in this article are as of 25 December 2025, ensuring that readers receive the most recent and relevant information to inform their investment decisions.
Here’s How the Stock Looks Today
As of 25 December 2025, Share India Securities Ltd is classified as a smallcap company operating within the Capital Markets sector. The stock has experienced mixed performance over various time frames, with a one-day decline of 1.52% and a one-week drop of 2.69%. However, it has shown some resilience with a one-month gain of 5.18% and a three-month surge of 24.00%. Despite these short-term gains, the stock has underperformed significantly over the longer term, delivering a negative return of 44.54% over the past year, compared to the BSE500 index’s positive 6.20% return in the same period.
Quality Assessment
The company’s quality grade is assessed as average. Share India Securities Ltd demonstrates strong long-term fundamental strength, with an average Return on Equity (ROE) of 29.41%, which is a positive indicator of efficient capital utilisation and profitability over time. Additionally, the company has exhibited healthy long-term growth, with net sales increasing at an annual rate of 32.20% and operating profit growing at 39.62%. These figures suggest that the company has a solid operational foundation and growth trajectory despite recent challenges.
Valuation Perspective
Valuation is a key factor underpinning the 'Hold' rating, with the company receiving a very attractive valuation grade. Currently, Share India Securities Ltd trades at a Price to Book Value ratio of 1.5, which is considered a discount relative to its peers’ historical valuations. This valuation level may appeal to value-conscious investors seeking exposure to the capital markets sector at a reasonable price point. The company’s ROE of 11.1% further supports this valuation, indicating that the stock is priced attractively given its profitability metrics.
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- - Fundamental Analysis
- - Technical Signals
- - Peer Comparison
Financial Trend Analysis
The financial trend for Share India Securities Ltd is currently negative, reflecting recent operational challenges. The company has reported negative results for the last four consecutive quarters. Specifically, Profit Before Tax excluding Other Income (PBT LESS OI) for the latest quarter stood at ₹121.19 crores, declining by 24.65%. Net sales for the most recent six-month period have decreased by 21.29%, amounting to ₹682.37 crores, while Profit After Tax (PAT) for the same period has fallen by 21.95% to ₹177.09 crores. These declines highlight short-term headwinds impacting profitability and revenue generation.
Technical Outlook
The technical grade for the stock is mildly bullish, suggesting some positive momentum in price action despite recent volatility. The stock’s three-month return of 24.00% indicates a recovery phase, although this is tempered by longer-term underperformance. Investors should consider this technical context alongside fundamental factors when evaluating the stock’s potential trajectory.
Additional Considerations
Investors should be aware that 52.16% of promoter shares are pledged, which can exert additional downward pressure on the stock price during market downturns. This factor adds a layer of risk that must be weighed against the company’s valuation and growth prospects. Furthermore, the stock’s significant underperformance relative to the broader market over the past year underscores the need for cautious appraisal.
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What the 'Hold' Rating Means for Investors
The 'Hold' rating assigned to Share India Securities Ltd by MarketsMOJO suggests that investors should maintain their current positions without initiating new purchases or sales based solely on this rating. It reflects a balanced view where the stock is neither a compelling buy nor a clear sell at present. Investors are advised to monitor the company’s financial recovery, valuation shifts, and technical signals closely before making significant portfolio adjustments.
Given the company’s attractive valuation and average quality metrics, there is potential for upside if financial trends improve. However, the recent negative earnings trajectory and high promoter share pledging warrant caution. The mildly bullish technical outlook offers some optimism but does not yet signal a strong breakout.
In summary, the 'Hold' rating encapsulates a wait-and-watch approach, encouraging investors to stay informed and consider both risks and opportunities as the company navigates its current challenges.
Summary
Share India Securities Ltd’s current 'Hold' rating, updated on 11 Dec 2025, is supported by a combination of average quality, very attractive valuation, negative financial trends, and mildly bullish technicals. As of 25 December 2025, the stock presents a mixed picture with strong long-term fundamentals offset by recent earnings declines and market underperformance. Investors should weigh these factors carefully and remain vigilant to changes in the company’s financial health and market conditions.
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