Borosil Ltd Stock Falls to 52-Week Low of Rs.239.3 Amidst Prolonged Downtrend

Recent Price Movement and Market Context

On 26 Feb 2026, Borosil Ltd’s share price fell to Rs.239.3, the lowest level recorded in the past year. This decline comes after six consecutive days of losses, during which the stock has shed approximately 9.23% of its value. The day’s performance saw the stock underperform its sector by 1.4%, continuing a pattern of relative weakness.

Technical indicators show Borosil trading below all major moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This broad-based weakness in technicals suggests a lack of short- and long-term momentum in the stock price.

In comparison, the Sensex opened positively but slipped into negative territory, closing at 82,246.91, down 0.04%. The benchmark index remains 4.76% below its 52-week high of 86,159.02, with the 50-day moving average positioned above the 200-day moving average, indicating a mixed market environment.

Financial Performance and Profitability Metrics

Borosil Ltd’s financial performance over the past year has been subdued. The stock has delivered a negative return of 24.47%, starkly contrasting with the Sensex’s positive 10.15% return over the same period. This underperformance extends beyond the last year, with the company lagging behind the BSE500 index across one-, three-year, and three-month timeframes.

One of the key concerns is the company’s return on equity (ROE), which stands at a modest 8.36%. This figure indicates relatively low profitability generated from shareholders’ funds, a factor that has contributed to the stock’s cautious market reception. The average debt-to-equity ratio remains low at 0.06 times, reflecting a conservative capital structure but also signalling limited leverage to fuel growth.

Operational and Cash Flow Considerations

While Borosil has demonstrated healthy long-term growth in operating profit, with an annualised increase of 40.93%, recent cash and cash equivalents have dwindled to Rs.1.34 crore as of the half-year mark. This low cash reserve may constrain the company’s flexibility in managing short-term obligations and investments.

The company’s December 2025 results were largely flat, offering little impetus for a turnaround in sentiment. Despite the subdued earnings trajectory, Borosil’s profits have risen by 14.7% over the past year, indicating some operational resilience amid broader challenges.

Valuation and Market Sentiment

Borosil Ltd currently trades at a price-to-book value of 3.4, which is considered attractive relative to its peers’ historical valuations. The company’s PEG ratio stands at 2.5, reflecting the relationship between its price-to-earnings ratio and earnings growth rate. Despite the negative stock returns, the rising profits suggest some underlying value that the market has yet to fully price in.

However, the company’s Mojo Score of 37.0 and a Mojo Grade of Sell, downgraded from Hold on 14 Nov 2025, highlight prevailing concerns about its overall quality and market outlook. The market capitalisation grade remains low at 3, indicating limited scale compared to larger diversified consumer products companies.

Comparative Performance and Sector Dynamics

Within the diversified consumer products sector, Borosil’s performance has been notably weaker than many of its peers. The stock’s 52-week high was Rs.398.4, underscoring the extent of the recent decline. The sector itself has experienced mixed results, with some companies benefiting from favourable demand trends while others face headwinds.

The company’s conservative debt profile contrasts with its modest return on equity, suggesting that while financial risk is contained, growth and profitability remain areas of concern. This balance has contributed to the cautious stance reflected in the stock’s recent price action.

Summary of Key Metrics

To summarise, Borosil Ltd’s stock has reached a 52-week low of Rs.239.3 after a sustained period of decline. The company’s financial indicators reveal a low return on equity of 8.36%, a conservative debt-to-equity ratio of 0.06, and a modest cash reserve of Rs.1.34 crore. While operating profit growth has been robust at an annual rate of 40.93%, the stock’s price performance has lagged significantly behind the Sensex and sector benchmarks.

The downgrade in Mojo Grade to Sell and a Mojo Score of 37.0 reflect the market’s cautious view of the company’s prospects. Borosil’s valuation metrics, including a price-to-book ratio of 3.4 and a PEG ratio of 2.5, suggest some valuation appeal, but the overall sentiment remains subdued.

As the stock trades below all major moving averages and continues to underperform its sector, the current price level represents a critical juncture in Borosil’s market journey.

Only Rs. 9,999 - Get MojoOne for 1 Year + 3 Months FREE (60% Off) Start Today