Extended Decline and Market Performance
Cyient DLM Ltd’s stock has been on a downward trajectory for six consecutive trading sessions, resulting in a cumulative loss of 12.85% during this period. On the day in question, the stock fell by 1.08%, contrasting with the Sensex’s marginal gain of 0.05%. Over the past week, the stock’s decline of 11.94% significantly outpaced the Sensex’s 1.75% fall, while the one-month return of -12.44% starkly contrasts with the Sensex’s positive 0.90% performance.
More pronounced underperformance is evident over longer durations. The three-month return stands at -26.97%, compared to the Sensex’s -2.74%, and the year-to-date loss is 24.15%, far exceeding the Sensex’s 3.46% decline. Over the last year, Cyient DLM Ltd’s stock has depreciated by 23.65%, while the Sensex has appreciated by 10.28%. The stock has also failed to generate any returns over the past three and five years, in stark contrast to the Sensex’s gains of 38.35% and 61.19% respectively. The ten-year performance remains flat, whereas the Sensex has surged by 258.07% during the same period.
Technical indicators reinforce the bearish sentiment, with the stock trading below all key moving averages – 5-day, 20-day, 50-day, 100-day, and 200-day – signalling sustained weakness in price momentum.
Momentum just kicked in! This Small Cap from the Auto - Trucks sector entered our list with explosive short-term signals. Catch the wave while it's still building!
- - Fresh momentum detected
- - Explosive short-term signals
- - Early wave positioning
Financial Results and Valuation Metrics
The company’s recent quarterly results reveal a decline in key profitability metrics. Profit Before Tax excluding other income (PBT LESS OI) for the quarter stood at ₹10.62 crores, marking a 35.9% decrease compared to the average of the previous four quarters. Net Profit After Tax (PAT) also fell sharply by 45.0% to ₹11.23 crores over the same comparative period. Net sales for the quarter declined by 17.0%, registering ₹303.35 crores against the prior four-quarter average.
Over the last five years, Cyient DLM Ltd’s net sales have contracted at an annualised rate of 4.99%, indicating subdued top-line growth. Despite this, profits have marginally increased by 4.7% over the past year, resulting in a price-to-earnings-to-growth (PEG) ratio of 6.6, which suggests a valuation that is not aligned with earnings growth.
The company’s return on equity (ROE) is modest at 8.3%, while the price-to-book value ratio stands at 2.6, reflecting a relatively expensive valuation compared to its historical averages and peer group. Notably, the stock is trading at a discount relative to the average historical valuations of its sector peers, yet this has not translated into positive price performance.
Comparative Performance and Market Position
Cyient DLM Ltd’s stock has consistently underperformed the BSE500 index across multiple time frames, including the last three years, one year, and three months. This underperformance highlights the company’s challenges in delivering shareholder value relative to the broader market and its industrial manufacturing sector.
On a positive note, the company maintains a low average debt-to-equity ratio of zero, indicating a conservative capital structure with minimal leverage. Institutional investors hold a significant 29.29% stake in the company, reflecting confidence from entities with substantial analytical resources and fundamental assessment capabilities.
Cyient DLM Ltd or something better? Our SwitchER feature analyzes this small-cap Industrial Manufacturing stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Mojo Score and Analyst Ratings
Cyient DLM Ltd currently holds a Mojo Score of 31.0, categorised as a Sell rating by MarketsMOJO. This represents a downgrade from its previous Hold rating, effective from 24 Nov 2025. The company’s market capitalisation grade is rated at 3, indicating a mid-tier market cap status within its sector. The downgrade reflects the deteriorating financial metrics and sustained price weakness observed in recent months.
The stock’s recent underperformance relative to both the Sensex and its sector peers, combined with declining profitability and sales, has contributed to the cautious stance reflected in the Mojo Grade. The downgrade signals a reassessment of the company’s risk-return profile based on current fundamentals and market conditions.
Summary of Key Metrics
To summarise, Cyient DLM Ltd’s stock is trading near its 52-week low, having lost significant value over the past year and longer durations. The company’s financial results show declines in profitability and sales, with a subdued growth trajectory over the last five years. Valuation metrics indicate a relatively high price-to-book ratio and a PEG ratio that suggests earnings growth is not adequately reflected in the share price. Institutional ownership remains substantial, and the company’s capital structure is conservatively managed with negligible debt.
These factors collectively illustrate the severity of the current situation for Cyient DLM Ltd’s stock, which has reached an all-time low amid a challenging market environment and subdued financial performance.
Limited Period Only. Start at Rs. 9,999 - Get MojoOne for 1 Year + 3 Months FREE (60% Off) Get 71% Off →
