Current Rating and Its Context
On 30 January 2023, MarketsMOJO revised the rating for TCI Express Ltd from 'Hold' to 'Sell', reflecting a significant change in the company’s overall assessment. The Mojo Score dropped by 23 points, from 54 to 31, signalling a more cautious stance towards the stock. This rating is intended to guide investors on the stock’s expected performance based on a comprehensive evaluation of multiple factors.
It is important to note that while the rating was set in early 2023, the detailed analysis below uses the latest available data as of 31 December 2025. This ensures that investors understand the stock’s current health and prospects rather than relying solely on historical snapshots.
Here’s How TCI Express Ltd Looks Today
As of 31 December 2025, TCI Express Ltd remains a small-cap player in the Transport Services sector. The company’s financial and market performance continues to reflect challenges that justify the 'Sell' rating. The Mojo Score of 31 and the accompanying 'Sell' grade indicate that the stock is currently viewed as unattractive for investment, primarily due to weak fundamentals and negative trends.
Examining the stock’s recent price movements, it has experienced consistent declines across multiple time frames. The one-day change stands at -0.10%, while the one-week and one-month returns are -2.54% and -2.56% respectively. More concerning are the longer-term returns: over three months, the stock has fallen by 21.91%, six months by 25.21%, and year-to-date by 29.50%. The one-year return also mirrors this negative trend at -29.50%, underscoring sustained underperformance.
Register here to know the latest call on TCI Express Ltd
- - Fundamental Analysis
- - Technical Signals
- - Peer Comparison
Quality Assessment
TCI Express Ltd’s quality grade is assessed as average. Over the past five years, the company has demonstrated modest growth in net sales at an annual rate of 8.21%, while operating profit growth has been more subdued at 3.22% per annum. This slow growth trajectory suggests limited expansion and operational efficiency challenges. Furthermore, the company has reported negative results for eight consecutive quarters, indicating persistent profitability issues that weigh heavily on its quality rating.
Valuation Perspective
Despite the weak operational performance, the valuation grade for TCI Express Ltd is classified as very attractive. This suggests that the stock is trading at a relatively low price compared to its earnings, book value, or cash flow metrics. For value-oriented investors, this could present a potential opportunity if the company’s fundamentals improve. However, valuation alone does not offset the risks posed by deteriorating financial trends and technical weakness.
Financial Trend Analysis
The financial grade for TCI Express Ltd is negative, reflecting ongoing challenges in profitability and cash flow generation. The latest data shows operating cash flow for the year at ₹117.52 crores, which is the lowest recorded in recent periods. Profit after tax (PAT) for the nine months stands at ₹62.74 crores, having declined at a rate of -20.40%. Additionally, profit before tax excluding other income (PBT less OI) for the quarter is ₹27.71 crores, down by -10.96%. These figures highlight a deteriorating financial trend that undermines investor confidence.
Technical Outlook
From a technical standpoint, the stock is graded as bearish. The consistent negative returns over multiple time frames and underperformance relative to the BSE500 benchmark over the past three years reinforce this view. The stock’s inability to sustain upward momentum or establish a stable base suggests that technical indicators are signalling further downside risk in the near term.
Performance Relative to Benchmark
TCI Express Ltd has consistently underperformed the broader market. Over the last three annual periods, the stock has lagged behind the BSE500 index, delivering returns that are significantly below benchmark levels. This persistent underperformance is a critical factor in the 'Sell' rating, as it indicates that the stock has not been able to generate adequate shareholder value compared to its peers and the overall market.
Turnaround taking shape! This Small Cap from NBFC sector just hit profitability with strong business fundamentals showing up. Catch it before the major breakout happens!
- - Recently turned profitable
- - Strong business fundamentals
- - Pre-breakout opportunity
What the 'Sell' Rating Means for Investors
The 'Sell' rating assigned to TCI Express Ltd by MarketsMOJO serves as a cautionary signal for investors. It indicates that, based on current data, the stock is expected to underperform or face continued headwinds in the foreseeable future. Investors should carefully consider the company’s weak financial trends, average quality, bearish technical signals, and despite attractive valuation, the risks remain substantial.
For those holding the stock, this rating suggests a review of portfolio exposure may be prudent, while potential investors might prefer to wait for signs of operational turnaround or improved financial health before committing capital. The rating reflects a comprehensive analysis that balances valuation opportunities against fundamental and technical weaknesses.
Summary
In summary, TCI Express Ltd’s current 'Sell' rating is supported by a combination of average quality, very attractive valuation, negative financial trends, and bearish technical indicators. The stock’s sustained underperformance relative to the benchmark and declining profitability metrics reinforce the cautious stance. While the valuation may appeal to value investors, the overall outlook remains challenging as of 31 December 2025.
Investors should monitor the company’s quarterly results and market developments closely to reassess the stock’s prospects in the future.
Only Rs. 9,999 - Get MojoOne + Stock of the Week for 1 Year (MRP = Rs. 34,999) Start Saving Now →
