Recent Price Movement and Market Context
On 25 Feb 2026, Agarwal Industrial Corporation Ltd’s share price touched Rs.552.2, its lowest level in the past year. This new low comes after a continuous five-day decline, during which the stock lost 11.31% in value. Despite an intraday high of Rs.573.1, representing a 2.54% gain earlier in the session, the stock closed with a day change of -1.18%, underperforming its sector by 0.95%. The stock currently trades below all major moving averages – 5-day, 20-day, 50-day, 100-day, and 200-day – signalling sustained bearish momentum.
The broader market, represented by the Sensex, opened positively with a gain of 304.20 points but reversed to close down by 350.47 points at 82,179.65, a marginal decline of 0.06%. The Sensex remains 4.84% below its 52-week high of 86,159.02. While the Sensex trades below its 50-day moving average, the 50DMA itself remains above the 200DMA, indicating mixed signals for the overall market.
Financial Performance and Profitability Trends
Agarwal Industrial Corporation Ltd’s financial results have been under pressure, contributing to the stock’s decline. The company reported a sharp fall in net sales, down 25.87% in the latest quarter to Rs.408.44 crore compared to the previous four-quarter average. Operating profit growth has been modest at an annual rate of 16.26% over the last five years, which is considered poor relative to sector peers.
Operating profit to interest coverage ratio has deteriorated to a low of 2.79 times, indicating tighter margins for servicing debt. The company’s profit after tax (PAT) plunged by 86.5% in the recent quarter to Rs.2.80 crore, reflecting significant earnings pressure. This marks the third consecutive quarter of negative results, underscoring ongoing challenges in revenue generation and cost management.
Shareholder and Institutional Investor Activity
Institutional investors have reduced their holdings by 0.87% over the previous quarter, now collectively holding 5.05% of the company’s shares. This decline in institutional participation may reflect concerns over the company’s recent performance and outlook, given their typically rigorous fundamental analysis capabilities.
Strong fundamentals, steady climb upward! This Large Cap from Telecommunication sector earned its Reliable Performer badge through consistent execution. Safety meets solid returns here!
- - Reliable Performer certified
- - Consistent execution proven
- - Large Cap safety pick
Long-Term and Sectoral Performance Comparison
Over the past year, Agarwal Industrial Corporation Ltd has delivered a total return of -40.74%, significantly underperforming the Sensex, which gained 10.18% during the same period. The stock has also lagged behind the BSE500 index over the last three years, one year, and three months, indicating persistent underperformance relative to broader market benchmarks.
Within the petrochemicals sector, Agarwal Industrial Corporation Ltd is the second largest company by market capitalisation at Rs.836 crore, representing 14.47% of the sector. Its annual sales of Rs.2,070.29 crore account for 31.08% of the industry’s total. Despite its size, the stock’s valuation and returns have not kept pace with sector peers.
Valuation and Debt Metrics
The company maintains a relatively low Debt to EBITDA ratio of 1.26 times, indicating a strong capacity to service its debt obligations. Return on Capital Employed (ROCE) stands at 11.9%, which is considered attractive. The enterprise value to capital employed ratio is 1.2, suggesting the stock is trading at a discount compared to historical valuations of its peers.
However, profitability has declined sharply, with profits falling by 52.6% over the past year. This contraction in earnings, combined with the stock’s price decline, reflects the challenges faced by the company in maintaining growth and profitability.
Considering Agarwal Industrial Corporation Ltd? Wait! SwitchER has found potentially better options in Petrochemicals and beyond. Compare this micro-cap with top-rated alternatives now!
- - Better options discovered
- - Petrochemicals + beyond scope
- - Top-rated alternatives ready
Mojo Score and Ratings
Agarwal Industrial Corporation Ltd currently holds a Mojo Score of 29.0, categorised as a Strong Sell. This rating was upgraded from Sell to Strong Sell on 16 Feb 2026, reflecting a deterioration in the company’s overall financial health and market performance. The market capitalisation grade is 4, indicating a mid-sized company within its sector.
Summary of Key Metrics
The stock’s 52-week high was Rs.1,113.95, highlighting the extent of the recent decline to Rs.552.2. The company’s net sales and profits have both contracted significantly in recent quarters, with net sales down 25.9% and PAT down 86.5% in the latest quarter. Institutional investor participation has decreased, and the stock continues to trade below all major moving averages, signalling ongoing downward pressure.
Despite some positive indicators such as a low debt ratio and attractive ROCE, the overall financial and market data point to a period of subdued performance for Agarwal Industrial Corporation Ltd within the petrochemicals sector.
Limited Period Only. Start at Rs. 9,999 - Get MojoOne for 1 Year + 3 Months FREE (60% Off) Get 71% Off →
