Recent Price Movement and Market Context
On 28 Jan 2026, Amal Ltd’s stock price touched an intraday low of Rs.470, representing a 2.72% drop on the day and a 1.27% decline compared to the previous close. This marks the third consecutive day of losses, with the stock falling by a cumulative 7.35% over this period. The stock’s underperformance is further highlighted by its lagging behind the Dyes & Pigments sector, which gained 2.44% on the same day.
Amal Ltd’s share price 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. In contrast, the broader Sensex index rose by 0.3% to close at 82,100.09, inching closer to its 52-week high of 86,159.02, underscoring the stock’s divergence from overall market strength.
Financial Performance and Valuation Metrics
Amal Ltd’s financial results have contributed to the subdued market sentiment. The company reported flat quarterly results for the period ending December 2025, with a notable decline in profitability. The quarterly profit after tax (PAT) stood at Rs.5.02 crores, down 48.2% compared to the average of the previous four quarters. Operating profit as a percentage of net sales also reached a low of 12.91%, indicating margin pressures.
Additionally, the company’s debtors turnover ratio for the half-year period was recorded at 9.66 times, the lowest in recent history, suggesting slower collection cycles and potential liquidity concerns. Despite these challenges, Amal Ltd has demonstrated healthy long-term growth, with net sales expanding at an annual rate of 48.59% over recent years.
Our current monthly pick, this Mid Cap from Automobile Two & Three Wheelers, survived rigorous evaluation against dozens of contenders. See why experts are backing this one!
- - Rigorous evaluation cleared
- - Expert-backed selection
- - Mid Cap conviction pick
Market Position and Shareholder Composition
Despite Amal Ltd’s sizeable market presence, domestic mutual funds hold a minimal stake of just 0.03%. Given that mutual funds typically conduct thorough on-the-ground research, this limited exposure may reflect a cautious stance towards the company’s current valuation or business outlook. This is further reflected in the company’s Mojo Score of 34.0 and a Mojo Grade of Sell, downgraded from Hold as of 1 Dec 2025.
Over the past year, Amal Ltd’s stock has underperformed significantly, delivering a negative return of 30.78%, while the Sensex has posted a positive return of 8.21%. This stark contrast highlights the stock’s relative weakness within the broader market context. The stock’s 52-week high was Rs.1,148, underscoring the magnitude of the recent decline.
Valuation and Profitability Insights
On the valuation front, Amal Ltd maintains a price-to-book value of 5.3, which is considered fair relative to its peers’ historical averages. The company’s return on equity (ROE) stands at a robust 34.2%, indicating efficient utilisation of shareholder capital. Furthermore, despite the stock’s negative price performance over the last year, the company’s profits have increased by 19.1%, resulting in a price/earnings to growth (PEG) ratio of 1.2.
These metrics suggest that while the stock price has declined sharply, the underlying business fundamentals retain some strength, particularly in terms of profitability and sales growth.
Considering Amal Ltd? Wait! SwitchER has found potentially better options in Specialty Chemicals and beyond. Compare this micro-cap with top-rated alternatives now!
- - Better options discovered
- - Specialty Chemicals + beyond scope
- - Top-rated alternatives ready
Sector and Broader Market Dynamics
Amal Ltd operates within the Specialty Chemicals sector, which has shown relative strength recently, with the Dyes & Pigments segment gaining 2.44% on the day the stock hit its low. This sector outperformance contrasts with Amal Ltd’s share price weakness, indicating company-specific factors are influencing its decline.
The broader market environment remains positive, with the Sensex advancing 0.3% and mega-cap stocks leading gains. However, Amal Ltd’s stock remains 59.0% below its 52-week high, reflecting a significant valuation gap compared to the market’s upward trajectory.
Summary of Key Metrics
To summarise, Amal Ltd’s stock has reached a new 52-week low of Rs.470 after a sustained period of decline. The company’s recent quarterly results showed a sharp drop in PAT and operating margins, while liquidity indicators such as debtor turnover have weakened. Despite these near-term pressures, the company continues to demonstrate strong long-term sales growth and profitability metrics.
The stock’s current Mojo Grade of Sell and a score of 34.0 reflect the cautious market sentiment. Meanwhile, limited institutional ownership and underperformance relative to the Sensex and sector peers highlight ongoing challenges in regaining investor confidence.
As of 28 Jan 2026, Amal Ltd’s share price remains under pressure, trading below all major moving averages and significantly lagging the broader market and sector indices.
Upgrade at special rates, valid only for the next few days. Claim Your Special Rate →
