AD Manum Finance Ltd Falls to 52-Week Low Amidst Continued Downtrend

Stock Price Movement and Market Context

The stock has underperformed notably, falling by 1.43% on the day and underperforming its sector by 2.13%. Over the last two trading days, AD Manum Finance has recorded a cumulative loss of 4.76%, reflecting persistent selling pressure. The current price of Rs.50.41 is substantially lower than its 52-week high of Rs.89, representing a decline of approximately 43.5% from that peak.

Technical indicators reveal that the stock is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling a bearish trend. This contrasts with the broader market, where the Sensex recovered sharply after a negative opening, gaining 0.49% to close at 82,898.64, just 3.93% shy of its own 52-week high of 86,159.02. Mega-cap stocks led the market rally, while AD Manum Finance’s performance remained subdued.

Financial Performance and Fundamental Assessment

AD Manum Finance’s financial metrics continue to reflect challenges. The company’s long-term fundamentals have been assessed as weak, with an average Return on Equity (ROE) of 8.37%, which is modest for the NBFC sector. Net sales have grown at a subdued annual rate of 7.46%, indicating limited expansion over recent years.

Recent quarterly results have been flat, with the Profit After Tax (PAT) for the latest six months at Rs.2.51 crore, representing a decline of 49.50% compared to the previous period. Earnings before interest, depreciation, and taxes (PBDIT) for the quarter stood at Rs.1.73 crore, the lowest recorded in recent quarters, while Profit Before Tax excluding other income (PBT less OI) also hit a low of Rs.1.56 crore. These figures underscore a period of subdued profitability and margin pressure.

Comparative Performance and Market Position

Over the past year, AD Manum Finance has generated a negative return of 31.95%, significantly underperforming the Sensex, which posted a positive return of 9.44% during the same period. The stock has also lagged behind the BSE500 index over one-year, three-year, and three-month timeframes, indicating persistent underperformance relative to broader market benchmarks.

Despite the weak price performance, the stock’s valuation metrics present a contrasting picture. With a Price to Book Value ratio of 0.4 and an ROE of 10.3 in the recent period, the stock is trading at a valuation that is considered very attractive relative to its peers’ historical averages. This suggests that the market is pricing in the company’s challenges, but the valuation remains within a reasonable range compared to sector norms.

Shareholding and Sectoral Context

The majority shareholding in AD Manum Finance remains with the promoters, indicating a stable ownership structure. The company operates within the NBFC sector, which has seen varied performance across different players, with some large-cap NBFCs leading market gains while others face headwinds.

Mojo Score and Rating Update

MarketsMOJO assigns AD Manum Finance a Mojo Score of 26.0, reflecting a Strong Sell rating as of 6 November 2025, an upgrade from the previous Sell grade. The Market Cap Grade is rated 4, indicating a mid-tier market capitalisation within its sector. This rating reflects the company’s current financial and market performance metrics, including its subdued profitability and price trends.

While the stock’s recent price action and fundamental data highlight challenges, the valuation metrics and promoter stability provide some context to its current market standing. The stock’s continued trading below all major moving averages further emphasises the prevailing bearish sentiment among market participants.

Summary of Key Metrics

To summarise, AD Manum Finance Ltd’s stock has declined to Rs.50.41, its lowest level in 52 weeks, following a series of negative returns and underwhelming financial results. The company’s average ROE of 8.37%, flat net sales growth, and declining profits over recent quarters have contributed to this trend. Despite this, the stock’s valuation remains relatively attractive with a low Price to Book ratio of 0.4 and an ROE of 10.3 in the latest period. The stock’s performance contrasts with the broader market’s positive momentum, as reflected by the Sensex’s gains and proximity to its own 52-week high.

Investors and analysts will continue to monitor the company’s financial disclosures and market movements to assess any changes in its trajectory. For now, the stock remains in a phase of subdued performance within the NBFC sector.

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