New Peak Amidst Sector Outperformance
On 27 Jan 2026, APL Apollo Tubes Ltd reached an intraday high of Rs.2087, marking its highest price level in the past year. This represents a notable 4.3% increase on the day, with the stock outperforming its sector by 1.45%. The stock has recorded gains for three consecutive sessions, delivering a cumulative return of 10.15% during this period. This upward trajectory has propelled the stock well above its key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling strong technical momentum.
Market Context and Relative Performance
While the broader market has experienced some headwinds, with the Sensex opening 100.91 points lower and currently trading at 81,262.09 (-0.34%), APL Apollo Tubes Ltd has demonstrated resilience. The Sensex has been on a three-week consecutive decline, losing 2.77% over this span, and is trading below its 50-day moving average, although the 50DMA remains above the 200DMA. In contrast, APL Apollo Tubes Ltd’s one-year performance stands at an impressive 37.23%, significantly outpacing the Sensex’s 7.93% return over the same period. The stock’s 52-week low was Rs.1273.3, highlighting the substantial appreciation it has achieved.
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Strong Fundamental Backing
The stock’s recent rally is supported by solid fundamental metrics. APL Apollo Tubes Ltd boasts a robust long-term Return on Capital Employed (ROCE) averaging 27.96%, reflecting efficient capital utilisation. Net sales have grown at an annualised rate of 22.70%, while operating profit has expanded at 24.59%, underscoring healthy business growth. The company’s ability to service debt remains strong, with a low Debt to EBITDA ratio of 0.35 times, indicating prudent financial management.
Consistent Positive Earnings and Valuation Metrics
In its latest quarterly results, the company reported net sales of Rs.5,815.13 crore and a PBDIT of Rs.471.79 crore, both the highest recorded to date. Net profit growth of 42.9% in the December 2025 quarter further highlights the company’s earnings momentum. This marks the fourth consecutive quarter of positive results, reinforcing the company’s operational strength. The half-year ROCE remains elevated at 27.53%, while the Return on Equity (ROE) stands at 22.8%, supporting a fair valuation with a Price to Book Value of 12.1. Notably, the stock trades at a discount relative to its peers’ average historical valuations, offering value within the mid-cap segment.
Institutional Confidence and Market Recognition
Institutional investors hold a significant 53.03% stake in APL Apollo Tubes Ltd, reflecting confidence from entities with extensive analytical resources. The company ranks among the top 1% of all stocks rated by MarketsMojo across a universe of 4,000 stocks. It holds a rank of 2 in both the mid-cap category and the overall market, underscoring its strong standing. The company’s Mojo Score has recently improved to 88.0, with an upgraded Mojo Grade of Strong Buy as of 13 Oct 2025, up from a previous Buy rating.
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Long-Term Market-Beating Performance
APL Apollo Tubes Ltd has demonstrated consistent market-beating returns over multiple time horizons. Beyond the 37.23% return in the past year, the stock has outperformed the BSE500 index over the last three years, one year, and three months. Profit growth has been particularly strong, rising by 80% over the past year, resulting in a PEG ratio of 0.6, which indicates attractive growth relative to valuation. This sustained performance reflects the company’s ability to generate shareholder value through both earnings expansion and capital appreciation.
Summary of Key Price and Performance Metrics
The stock’s new 52-week high of Rs.2087 represents a significant milestone, up from its 52-week low of Rs.1273.3. The recent three-day rally has added over 10% in returns, with the stock comfortably trading above all major moving averages. Despite a broader market environment where the Sensex has declined by 2.77% over three weeks, APL Apollo Tubes Ltd has maintained strong upward momentum, supported by solid fundamentals and institutional backing.
Conclusion
APL Apollo Tubes Ltd’s achievement of a new 52-week high at Rs.2087 highlights the company’s robust growth trajectory and market strength within the iron and steel products sector. Supported by strong financial metrics, consistent earnings growth, and favourable valuation parameters, the stock’s recent performance reflects a combination of operational excellence and investor confidence. This milestone is a testament to the company’s sustained ability to deliver value in a competitive industry landscape.
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