Confidence Petroleum India Falls to 52-Week Low of Rs.36.13 Amid Market Pressure

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Confidence Petroleum India has reached a new 52-week low of Rs.36.13, marking a significant decline in its stock price amid broader market fluctuations and sectoral underperformance.



Recent Price Movement and Market Context


On 5 December 2025, Confidence Petroleum India’s stock price touched Rs.36.13, the lowest level recorded in the past year. This price point reflects a continued downward trend, with the stock experiencing a three-day consecutive decline resulting in a cumulative return of -5.02% over this period. The stock’s performance today underperformed its sector by 0.48%, indicating relative weakness within the gas industry segment.


Technical indicators show that Confidence Petroleum India is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This positioning suggests sustained selling pressure and a lack of short-term momentum.


Meanwhile, the broader market has shown resilience. The Sensex opened lower at 85,125.48, down by 139.84 points (-0.16%), and was trading marginally lower at 85,187.26 (-0.09%) during the day. The index remains close to its 52-week high of 86,159.02, just 1.14% away, and is supported by bullish moving averages, with the 50-day moving average positioned above the 200-day moving average.



Long-Term Performance Comparison


Over the past year, Confidence Petroleum India’s stock has recorded a return of -53.64%, a stark contrast to the Sensex’s positive return of 4.18% during the same period. The stock’s 52-week high was Rs.84, underscoring the extent of the decline to the current low.


In addition to the one-year underperformance, the stock has lagged behind the BSE500 index over the last three years, one year, and three months, reflecting persistent challenges in maintaining market value relative to broader benchmarks.




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Shareholding and Market Interest


Despite Confidence Petroleum India’s sizeable market presence within the gas sector, domestic mutual funds hold no stake in the company. Given that domestic mutual funds typically conduct thorough research and maintain positions in companies with favourable prospects, their absence may reflect a cautious stance towards the stock’s current valuation or business outlook.



Financial Metrics and Operational Highlights


Confidence Petroleum India demonstrates a strong capacity to service its debt, with a Debt to EBITDA ratio of 1.31 times, indicating manageable leverage relative to earnings before interest, taxes, depreciation, and amortisation. This metric suggests the company is not overburdened by debt obligations.


Long-term growth indicators show that net sales have expanded at an annual rate of 36.39%, while operating profit has grown at 33.45%. These figures point to a healthy expansion in the company’s core business activities over recent years.


In the latest six-month period, net sales reached Rs.2,095 crore, reflecting a growth rate of 37.50%. Profit after tax (PAT) for the same period stood at Rs.40.49 crore, with a growth rate of 23.63%. The company has reported positive results for three consecutive quarters, signalling consistent profitability despite the stock’s price decline.



Valuation and Efficiency Metrics


Confidence Petroleum India’s return on capital employed (ROCE) is 7.8%, which, combined with an enterprise value to capital employed ratio of 0.9, indicates an attractive valuation relative to the capital invested in the business. The stock is trading at a discount compared to the average historical valuations of its peers in the gas sector.


While the stock’s one-year return is negative at -53.64%, profits have risen by 33.4% over the same period. The company’s price/earnings to growth (PEG) ratio stands at 0.5, suggesting that earnings growth has not been fully reflected in the stock price.




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Summary of Current Position


Confidence Petroleum India’s stock has experienced a notable decline to its 52-week low of Rs.36.13, reflecting a period of sustained price weakness. The stock’s underperformance relative to the Sensex and its sector, combined with its position below all major moving averages, highlights the challenges faced in regaining upward momentum.


Nevertheless, the company’s financial data reveals ongoing growth in sales and profits, manageable debt levels, and valuation metrics that remain attractive compared to peers. These factors provide a comprehensive view of the company’s current standing within the gas sector.






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