Recent Price Movement and Market Context
On 19 Feb 2026, 3i Infotech Ltd’s stock price touched Rs.14.42, the lowest level recorded in the past year. This decline comes after four consecutive days of losses, during which the stock has fallen by approximately 7.6%. The day’s performance saw the stock underperform its sector by 1.22%, continuing a trend of relative weakness within the Computers - Software & Consulting industry.
The stock is currently trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained bearish momentum. This contrasts with the broader market, where the Sensex, despite a sharp reversal today, remains within 3.27% of its 52-week high of 86,159.02 points. The Sensex closed at 83,431.23, down 0.36% for the day, highlighting a divergence between the index’s resilience and 3i Infotech’s underperformance.
Long-Term Performance and Valuation Concerns
Over the past year, 3i Infotech Ltd’s stock has delivered a negative return of 39.22%, starkly underperforming the Sensex’s positive 9.87% gain over the same period. The stock’s 52-week high was Rs.25.86, indicating a decline of nearly 44% from that peak. This prolonged downtrend reflects underlying fundamental weaknesses and market sentiment challenges.
The company’s long-term financial metrics reveal a concerning picture. Operating profits have contracted at a compound annual growth rate (CAGR) of -171.53% over the last five years, indicating significant erosion in core earnings capacity. Additionally, the company’s ability to service debt remains strained, with an average EBIT to interest ratio of -3.34, underscoring difficulties in covering interest expenses from operating earnings.
Return on Equity (ROE) has averaged a modest 6.25%, signalling limited profitability relative to shareholders’ funds. These factors contribute to the stock’s current Mojo Grade of Strong Sell, an upgrade from the previous Sell rating on 13 Nov 2025, reflecting a deterioration in the company’s fundamental outlook. The Mojo Score stands at 17.0, reinforcing the negative assessment.
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Quarterly Financial Results and Cash Position
The company’s recent quarterly results further illustrate the challenges faced. Profit Before Tax (PBT) excluding other income for the quarter stood at a loss of Rs.5.76 crores, representing a decline of 333.1% compared to the average of the previous four quarters. Net Profit After Tax (PAT) for the quarter was Rs.5.55 crores, down 68.4% relative to the same period average, indicating a sharp contraction in profitability.
Cash and cash equivalents at the half-year mark were reported at Rs.45.54 crores, the lowest level recorded, which may constrain the company’s liquidity and operational flexibility. The negative EBITDA position adds to the risk profile, as the company is currently trading at valuations that are considered risky relative to its historical averages.
Comparative Performance and Shareholding Pattern
3i Infotech Ltd has underperformed not only the Sensex but also the BSE500 index over the last three years, one year, and three months, indicating persistent relative weakness. The stock’s PEG ratio is reported as zero, reflecting the disconnect between price performance and earnings growth, which has risen by 217.8% over the past year despite the stock’s decline.
The majority of the company’s shares are held by non-institutional investors, which may influence trading dynamics and liquidity considerations in the stock.
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Summary of Key Metrics
To summarise, 3i Infotech Ltd’s stock performance and financial indicators present a challenging scenario:
- Current price at 52-week low: Rs.14.42
- One-year stock return: -39.22%
- Five-year CAGR in operating profits: -171.53%
- Average EBIT to interest ratio: -3.34
- Average Return on Equity: 6.25%
- Quarterly PBT (excluding other income): Rs.-5.76 crores (-333.1%)
- Quarterly PAT: Rs.5.55 crores (-68.4%)
- Cash and cash equivalents (half-year): Rs.45.54 crores
- Mojo Grade: Strong Sell (upgraded from Sell on 13 Nov 2025)
- Mojo Score: 17.0
The stock’s current valuation and financial profile reflect a period of subdued performance relative to its sector and broader market indices.
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