Dev Information Technology Ltd Falls to 52-Week Low of Rs.27

Stock Price Movement and Market Context

On 16 Feb 2026, Dev Information Technology Ltd’s stock price touched Rs.27, its lowest level in the past year and also an all-time low. This represents a steep decline from its 52-week high of Rs.114.89, underscoring a loss of over 76% from the peak. The stock has been on a downward trajectory for five consecutive trading sessions, cumulatively falling by 17.12% during this period. Today’s decline of 2.17% further extended the stock’s underperformance, which lagged the Computers - Software & Consulting sector by 2.38%.

In contrast, the broader market showed resilience with the Nifty index closing at 25,682.75, up 0.83% or 211.65 points. The Nifty remains just 2.69% below its 52-week high of 26,373.20. Notably, all market capitalisation segments recorded gains, led by Large Caps and the Nifty Next 50 index, which rose 0.97%. Despite this positive market environment, Dev Information Technology Ltd’s shares continued to weaken, trading below all key moving averages including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained bearish momentum.

Financial Performance and Profitability Concerns

The company’s financial metrics reveal significant challenges that have contributed to the stock’s decline. Over the past five years, the operating profit has contracted at an annualised rate of -162.66%, reflecting a prolonged period of deteriorating earnings quality. The latest quarterly results for December 2025 showed a net loss (PAT) of Rs. -7.27 crores, a sharp fall of 520.2% compared to the previous period.

Return on Capital Employed (ROCE) for the half-year ended December 2025 stood at a low 7.36%, indicating limited efficiency in generating returns from capital invested. Cash and cash equivalents also reached a nadir at Rs.1.82 crores, highlighting constrained liquidity resources. These factors collectively underpin the company’s current financial stress and have weighed heavily on investor sentiment.

Valuation and Risk Profile

Dev Information Technology Ltd’s valuation metrics reflect elevated risk levels. The stock is trading at valuations that are considered risky relative to its historical averages. Over the last year, the stock has generated a negative return of -44.55%, substantially underperforming the Sensex, which posted a positive return of 9.66% over the same period. Profitability has also declined sharply, with profits falling by 112.8% year-on-year.

Longer-term performance has been below par as well, with the stock underperforming the BSE500 index across multiple time frames including the last three years, one year, and three months. This persistent underperformance has contributed to the stock’s current “Strong Sell” Mojo Grade of 17.0, upgraded from a previous “Sell” rating on 11 Feb 2026, reflecting a deteriorated outlook based on MarketsMOJO’s comprehensive evaluation framework.

Debt and Liquidity Considerations

Despite the challenges, the company maintains a relatively strong ability to service its debt obligations. The Debt to EBITDA ratio stands at a moderate 1.33 times, indicating manageable leverage levels. This metric suggests that while earnings have declined, the company’s debt burden remains within a range that does not pose immediate solvency concerns.

Summary of Key Metrics

To summarise, Dev Information Technology Ltd’s stock has reached a critical low point at Rs.27, reflecting a combination of weak financial results, poor profitability trends, and sustained underperformance relative to market benchmarks. The company’s Mojo Score of 17.0 and Strong Sell grade underscore the challenges faced in both long-term growth and near-term earnings stability. While debt levels remain manageable, the overall financial health indicators point to a cautious outlook.

In the context of a broadly positive market environment, with the Nifty and sector indices showing gains, the stock’s decline highlights company-specific issues that have weighed on investor confidence and valuation multiples. The gap between the current price and the 52-week high of Rs.114.89 emphasises the extent of the correction experienced over the past year.

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