Stock Price Movement and Market Context
On the day in question, Clean Science & Technology Ltd’s share price fell by 3.57%, underperforming its sector by a similar margin of 3.56%. The stock touched an intraday low of Rs.733, which also represents its all-time low price. This decline followed two consecutive days of gains, signalling a reversal in short-term momentum. The stock is currently trading 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 showed volatility with the Sensex opening 235.57 points higher but subsequently reversing sharply to close down by 1,471.68 points, or 1.48%, at 82,498.14. The Sensex remains 4.44% below its 52-week high of 86,159.02, trading below its 50-day moving average, though the 50DMA remains above the 200DMA, suggesting mixed signals for the broader market.
Long-Term Performance and Valuation Concerns
Over the past year, Clean Science & Technology Ltd has delivered a total return of -44.85%, significantly lagging the Sensex’s positive 8.64% return over the same period. The stock’s 52-week high was Rs.1,599, highlighting the extent of the decline. This underperformance extends beyond the last year, with the company consistently trailing the BSE500 index in each of the past three annual periods.
The company’s valuation metrics reflect a premium pricing despite the weak performance. It trades at a price-to-book value of 5.4, which is considered expensive relative to its peers’ historical averages. This valuation is supported by a return on equity (ROE) of 17.7%, which, while respectable, has not translated into corresponding share price appreciation.
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Financial Results and Profitability Trends
The company’s recent quarterly results have shown a decline in key profitability metrics. The profit after tax (PAT) for the quarter stood at Rs.45.88 crores, representing a 30.8% decrease compared to the average of the previous four quarters. Net sales for the quarter were Rs.219.67 crores, the lowest recorded in recent periods. Operating profit margins remain subdued, with a five-year annual growth rate of just 2.36%, while net sales have grown at a modest 12.13% annually over the same timeframe.
Return on capital employed (ROCE) for the half-year period is at a low 23.61%, reflecting pressure on the company’s ability to generate returns from its capital base. Despite these challenges, the company maintains a strong management efficiency profile, with a high ROE of 22.95% and a low average debt-to-equity ratio of zero, indicating a conservative capital structure.
Institutional Holdings and Market Perception
Institutional investors hold a significant stake in Clean Science & Technology Ltd, with 29.77% of shares owned by these entities. This level of institutional ownership suggests that investors with greater analytical resources continue to maintain exposure to the company despite recent price declines. However, the company’s Mojo Score stands at 28.0, with a Mojo Grade of Strong Sell as of 4 August 2025, downgraded from Sell, reflecting deteriorating fundamentals and market sentiment.
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Sector and Industry Positioning
Operating within the Specialty Chemicals sector, Clean Science & Technology Ltd faces a competitive environment where growth and profitability are critical. The company’s modest sales growth and declining profitability contrast with sector peers that have generally maintained stronger financial momentum. The stock’s current market capitalisation grade is 3, indicating a mid-tier market cap relative to its industry peers.
While the stock’s valuation remains elevated, it is trading at a discount compared to its peers’ average historical valuations, reflecting the market’s cautious stance on the company’s near-term prospects. The stock’s consistent underperformance against the benchmark indices over the last three years further underscores the challenges faced by the company in delivering shareholder value.
Summary of Key Metrics
To summarise, Clean Science & Technology Ltd’s key financial and market metrics as of 19 Feb 2026 are:
- New 52-week and all-time low price: Rs.733
- One-year stock return: -44.85%
- Sensex one-year return: +8.64%
- Price-to-book value: 5.4
- Return on equity (ROE): 17.7%
- Return on capital employed (ROCE): 23.61% (half-year)
- Net sales growth (5-year CAGR): 12.13%
- Operating profit growth (5-year CAGR): 2.36%
- Profit after tax (latest quarter): Rs.45.88 crores (-30.8% vs previous 4Q average)
- Institutional holdings: 29.77%
- Mojo Score: 28.0 (Strong Sell)
Conclusion
Clean Science & Technology Ltd’s stock reaching a new 52-week low of Rs.733 reflects a culmination of subdued financial performance, valuation concerns, and persistent underperformance relative to market benchmarks. Despite a strong management efficiency profile and low leverage, the company’s recent results and growth trends have not supported its share price. The stock’s trading below all major moving averages and its downgrade to a Strong Sell grade by MarketsMOJO further illustrate the challenges it faces in the current market environment.
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