Clean Science & Technology Ltd Falls to 52-Week Low of Rs.847.15

Stock Performance and Market Context

On 9 Jan 2026, Clean Science & Technology Ltd’s share price reached Rs.847.15, down by 0.13% on the day. This decline contrasts with the broader Sensex index, which, after an initial negative opening of 158.87 points, rebounded to close marginally higher by 0.01% at 84,188.22 points. The Sensex remains just 2.34% below its 52-week high of 86,159.02, supported by gains in mega-cap stocks. In comparison, Clean Science & Technology Ltd has underperformed significantly, with its stock price falling 40.89% over the past year, while the Sensex has gained 8.45% during the same period.

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 momentum. This technical positioning reflects a cautious market sentiment towards the company’s near-term prospects.

Financial Performance and Valuation Metrics

Clean Science & Technology Ltd’s financial results have shown signs of strain, particularly in the most recent quarter ending September 2025. The company reported a profit after tax (PAT) of Rs.55.43 crore, representing a 17.4% decline compared to the average of the previous four quarters. Operating profit, measured by PBDIT, fell to Rs.87.09 crore, the lowest level recorded in recent periods. The operating profit to net sales ratio also dropped to 35.61%, signalling reduced profitability margins.

Despite these challenges, the company maintains a relatively high return on equity (ROE) of 17.7%, reflecting efficient use of shareholder capital. However, this is accompanied by a high valuation multiple, with a price-to-book (P/B) ratio of 6.1, which is considered expensive relative to peers. The company’s PEG ratio stands at 11.7, indicating that the stock price is not well supported by earnings growth, which has been modest at an annual rate of 5.93% over the past five years.

Over the last year, profits have increased by approximately 3%, but this has not translated into positive stock returns, underscoring a disconnect between earnings and market valuation. The company’s market capitalisation grade is rated at 3, reflecting its mid-cap status but also signalling limited market confidence.

Shareholding and Promoter Activity

Promoter confidence appears to be waning, as evidenced by a 24% reduction in promoter holdings over the previous quarter. Currently, promoters hold 50.97% of the company’s shares. This decrease in promoter stake may be interpreted as a cautious stance on the company’s future trajectory.

Sector and Benchmark Comparison

Within the specialty chemicals sector, Clean Science & Technology Ltd’s performance has been notably weaker than its peers. The stock has consistently underperformed the BSE500 index over the past three years, with annual returns lagging behind benchmark averages. This persistent underperformance highlights challenges in maintaining competitive positioning within the sector.

Despite the stock’s decline, the company benefits from a low average debt-to-equity ratio of zero, indicating a conservative capital structure with minimal leverage. Additionally, management efficiency remains high, with an ROE of 22.95% reported in recent assessments, suggesting effective utilisation of equity capital despite broader market headwinds.

Mojo Score and Ratings

Clean Science & Technology Ltd currently holds a Mojo Score of 28.0, categorised as a Strong Sell. This rating was upgraded from a Sell grade on 4 Aug 2025, reflecting a deterioration in the company’s outlook and financial health. The Strong Sell grade underscores the challenges faced by the company in reversing its downward trend and improving investor sentiment.

Summary of Key Metrics

The stock’s 52-week high was Rs.1,599, indicating a substantial decline of nearly 47% to the current 52-week low of Rs.847.15. The company’s operating profit has grown at a modest annual rate of 5.93% over five years, which has not been sufficient to support the stock price. The recent quarterly results show a contraction in profitability, with PAT and PBDIT both declining significantly.

Promoter stake reduction and consistent underperformance against benchmarks further compound the stock’s challenges. However, the company’s low debt levels and high management efficiency provide some stabilising factors amid the broader negative trend.

Overall, Clean Science & Technology Ltd’s stock performance reflects a complex interplay of valuation concerns, earnings pressures, and market sentiment within the specialty chemicals sector.

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