Bhilwara Spinners Ltd Stock Falls to 52-Week Low of Rs.101.9

Stock Price Movement and Market Context

On 29 Dec 2025, Bhilwara Spinners Ltd’s stock touched an intraday low of Rs.101.9, down by 2.49% from previous levels. Despite this, the stock managed to recover somewhat during the trading session, reaching an intraday high of Rs.108.25, representing a 3.59% gain on the day. This gain followed four consecutive days of decline, indicating a short-term trend reversal. However, the stock remains below its key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained downward momentum.

In comparison, the broader market index, Sensex, opened flat but traded slightly negative at 84,938.50 points, down 0.12% or 36.70 points. The Sensex remains close to its 52-week high of 86,159.02, trading just 1.44% below that peak and maintaining a bullish stance above its 50-day and 200-day moving averages. This contrast highlights Bhilwara Spinners’ underperformance relative to the broader market.

Over the past year, Bhilwara Spinners Ltd’s stock has declined by 25.86%, a stark contrast to the Sensex’s positive return of 7.92% and the BSE500’s 5.59% gain. The stock’s 52-week high was Rs.166.95, underscoring the extent of the recent price erosion.

Financial Performance and Valuation Metrics

Bhilwara Spinners Ltd’s financial indicators reveal several areas of concern. The company’s long-term fundamental strength remains weak, with an average Return on Capital Employed (ROCE) of just 0.68%. This figure is considerably low, indicating limited efficiency in generating returns from its capital base. Additionally, the company’s ability to service its debt is constrained, as reflected by a high Debt to EBITDA ratio of 15.32 times, signalling elevated leverage and potential financial strain.

Valuation metrics further highlight challenges. The stock trades at an Enterprise Value to Capital Employed ratio of 1.4, which is considered expensive relative to its modest ROCE of 1.2. Despite this, the stock is currently priced at a discount compared to its peers’ average historical valuations, suggesting market scepticism about its prospects. Profitability has also deteriorated sharply, with profits falling by 272.4% over the past year, a significant decline that has weighed heavily on investor sentiment.

Operational and Sales Highlights

On a positive note, the company’s net sales for the nine-month period stand at Rs.22.89 crores, reflecting a growth rate of 33.94%. This sales expansion is accompanied by the highest quarterly PBDIT recorded at Rs.3.34 crores, and the highest annual operating cash flow at Rs.11.67 crores. These figures indicate some operational cash generation and revenue growth despite the broader financial pressures.

Promoters remain the majority shareholders, maintaining control over the company’s strategic direction.

Sector and Market Position

Bhilwara Spinners Ltd operates within the Garments & Apparels industry, a sector that has experienced varied performance across companies. The stock’s Mojo Score currently stands at 23.0, with a Mojo Grade of Strong Sell, upgraded from a previous Sell rating on 17 Mar 2025. This grading reflects the company’s deteriorated fundamentals and valuation concerns as assessed by MarketsMOJO’s proprietary analysis.

The company’s market capitalisation grade is 4, indicating a mid-cap status with moderate liquidity and market presence. Despite the sector’s overall dynamics, Bhilwara Spinners has underperformed its peers and the broader market indices over the last year.

Technical Indicators and Trading Trends

From a technical perspective, the stock’s trading below all major moving averages signals persistent bearish sentiment. The recent 52-week low at Rs.101.9 is a critical support level breach, underscoring the stock’s vulnerability. However, the intraday recovery to Rs.108.25 suggests some buying interest at lower levels, though the overall trend remains subdued.

In contrast, the Sensex’s bullish positioning above its 50-day and 200-day moving averages highlights the divergence between Bhilwara Spinners and the broader market, emphasising the stock’s relative weakness.

Summary of Key Metrics

To summarise, Bhilwara Spinners Ltd’s stock performance and financial metrics as of 29 Dec 2025 are as follows:

• New 52-week low: Rs.101.9


• Day’s high: Rs.108.25 (+3.59%)


• Day’s low: Rs.101.9 (-2.49%)


• 1-year stock return: -25.86%


• Sensex 1-year return: +7.92%


• Average ROCE: 0.68%


• Debt to EBITDA ratio: 15.32 times


• Enterprise Value to Capital Employed: 1.4


• Net sales (9 months): Rs.22.89 crores (+33.94%)


• Highest quarterly PBDIT: Rs.3.34 crores


• Operating cash flow (annual): Rs.11.67 crores


• Mojo Score: 23.0 (Strong Sell, upgraded from Sell on 17 Mar 2025)

The stock’s current valuation and financial profile reflect the challenges faced by Bhilwara Spinners Ltd in maintaining profitability and market confidence over the past year.

Conclusion

Bhilwara Spinners Ltd’s fall to a 52-week low of Rs.101.9 marks a significant point in its recent trading history, highlighting ongoing pressures from weak returns, high leverage, and subdued market performance. While the company has demonstrated some sales growth and cash flow generation, these have not been sufficient to offset the broader concerns reflected in its valuation and profit declines. The stock’s technical indicators and Mojo Grade reinforce the cautious stance prevailing among market participants as of late December 2025.

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