Stock Price Movement and Market Context
On 1 December 2025, B N Rathi Securities recorded its lowest price in the past year at Rs.16.3. This level represents a substantial drop from its 52-week high of Rs.72.75, reflecting a decline of over 77%. The stock’s performance today showed a slight gain of 1.12%, outperforming its sector by 0.93%, and reversing a three-day downward trend. However, the stock remains below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, indicating sustained downward pressure.
In contrast, the broader market has demonstrated resilience. The Sensex opened higher at 86,065.92 points, gaining 359.25 points (0.42%) before trading slightly lower at 85,864.19 points (0.18%). The index is just 0.22% shy of its 52-week high of 86,055.86 points and has recorded a three-week consecutive rise, accumulating a gain of 1.54%. Small-cap stocks have led the market rally, with the BSE Small Cap index advancing by 0.41% on the same day.
Financial Performance and Profitability Trends
B N Rathi Securities’ financial results over the past year have shown a downward trajectory. The company has reported negative results for four consecutive quarters, with its profit after tax (PAT) for the latest six months at Rs.3.79 crore, reflecting a decline of 49.87%. Profit before tax (PBT) excluding other income for the quarter stood at Rs.1.10 crore, down by 53.59%. Operating cash flow for the year has been recorded at a negative Rs.22.63 crore, indicating cash outflows from core business activities.
These figures contrast sharply with the broader market’s performance. While the BSE500 index has generated returns of 5.27% over the last year, B N Rathi Securities has recorded a negative return of 62.47%. The company’s profits have fallen by 55.3% during the same period, underscoring the challenges faced in maintaining profitability.
Momentum just kicked in! This Small Cap from the Auto - Trucks sector entered our list with explosive short-term signals. Catch the wave while it's still building!
- - Fresh momentum detected
- - Explosive short-term signals
- - Early wave positioning
Valuation and Shareholding Structure
Despite the recent price decline, B N Rathi Securities maintains certain fundamental strengths. The company’s average return on equity (ROE) over the long term stands at 15.14%, indicating a capacity to generate returns on shareholder capital. The current ROE is approximately 7.7%, with a price-to-book value ratio of 1, suggesting an attractive valuation relative to its book value.
However, the stock is trading at a premium compared to the average historical valuations of its peers within the NBFC sector. This premium may reflect market perceptions of the company’s underlying assets or future prospects, though the recent price action indicates caution among investors.
Majority shareholding in B N Rathi Securities is held by non-institutional investors, which may influence trading patterns and liquidity in the stock.
Comparative Market Performance
Over the past year, B N Rathi Securities has underperformed not only the Sensex but also the broader BSE500 index. While the Sensex has recorded a gain of 7.60% and the BSE500 has returned 5.27%, the stock’s negative return of 62.47% highlights a significant divergence from market trends. This underperformance is accompanied by a substantial contraction in profits, which have fallen by 55.3% over the same period.
The company’s stock price remains well below all major moving averages, signalling a sustained bearish trend. This contrasts with the Sensex, which is trading above its 50-day moving average, with the 50-day average itself positioned above the 200-day moving average, a configuration typically associated with bullish momentum.
Is B N Rathi Securities your best bet? SwitchER suggests better alternatives across peers, market caps, and sectors. Discover stocks that could deliver more for your portfolio!
- - Better alternatives suggested
- - Cross-sector comparison
- - Portfolio optimization tool
Summary of Key Metrics
The stock’s new 52-week low of Rs.16.3 marks a critical price point after a year characterised by significant declines in profitability and market value. The company’s PAT and PBT figures for recent periods show contraction, while operating cash flows remain negative. Despite these challenges, the company’s long-term ROE and price-to-book value ratio suggest some underlying fundamental strength.
Market conditions have been generally positive, with the Sensex near its 52-week high and small-cap stocks leading gains. However, B N Rathi Securities has not mirrored this trend, remaining under pressure and trading below all major moving averages.
Shareholding remains predominantly with non-institutional investors, which may affect stock liquidity and price movements. The stock’s valuation premium relative to peers indicates a divergence between market price and sector averages.
Conclusion
B N Rathi Securities’ fall to a 52-week low of Rs.16.3 reflects a year of subdued financial performance and market underperformance relative to benchmarks. While the broader market has shown resilience, the stock continues to trade under pressure, with key financial indicators signalling contraction in earnings and cash flow. The company’s valuation and long-term return metrics provide some context to its current standing within the NBFC sector.
Limited Time Only! Upgrade now and get 1 Year of Stock of the week worth Rs. 14,999 for FREE. Don't miss out on this exclusive offer. Claim Your Free Year →
