Recent Price Movement and Market Context
On 27 Jan 2026, Ecoplast Ltd’s share price touched an intraday low of Rs.433.45, representing a 5.98% drop during the trading session. This decline contributed to a two-day consecutive fall, resulting in an 8.13% loss over this period. The stock underperformed its sector by 4.61% on the day, trading below all key moving averages including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained bearish momentum.
In contrast, the broader market showed resilience with the Sensex recovering from an initial negative opening to close 0.13% higher at 81,645.10 points. Despite this, Ecoplast’s performance remained subdued, highlighting its divergence from the market’s modest gains.
Long-Term Performance and Valuation Metrics
Over the past year, Ecoplast Ltd’s stock has declined by 26.52%, a stark contrast to the Sensex’s positive return of 8.37% during the same period. The stock’s 52-week high was Rs.774, underscoring the extent of the recent price erosion. This underperformance is further reflected in the company’s Mojo Score of 31.0 and a Mojo Grade of Sell, which was downgraded from Strong Sell on 27 Oct 2025.
The company’s valuation appears elevated relative to its peers, with a price-to-book value ratio of 2.0 and a return on equity (ROE) of 10.5%. Despite these figures, the stock’s premium valuation has not translated into positive returns, as profits have declined by 7.9% over the last year.
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Financial Performance Indicators
Ecoplast’s recent financial results have been largely flat, with operating cash flow for the year reported at Rs.5.04 crores, the lowest level recorded. The company’s return on capital employed (ROCE) for the half-year stood at 14.67%, also at a low point. Additionally, the debtors turnover ratio for the half-year was 7.14 times, indicating slower collection cycles compared to historical averages.
Despite these challenges, the company maintains a conservative capital structure, with an average debt-to-equity ratio of just 0.08 times. This low leverage provides some cushion against financial strain but has not been sufficient to arrest the stock’s decline.
Shareholding and Sectoral Positioning
The majority shareholding in Ecoplast Ltd remains with the promoters, reflecting stable ownership. The company operates within the Plastic Products - Industrial sector, which has seen mixed performance recently. Notably, other indices such as NIFTY MEDIA and NIFTY REALTY also hit new 52-week lows on the same day, indicating sectoral pressures in certain segments of the market.
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Technical and Market Indicators
From a technical perspective, Ecoplast’s share price trading below all major moving averages signals a bearish trend. The stock’s inability to sustain levels above the 5-day and 20-day moving averages suggests short-term weakness, while its position below the 50-day, 100-day, and 200-day averages points to longer-term challenges.
Meanwhile, the Sensex’s 50-day moving average remains above its 200-day moving average, indicating a generally positive market trend. However, Ecoplast’s divergence from this trend highlights company-specific factors influencing its performance.
Summary of Key Metrics
To summarise, Ecoplast Ltd’s key metrics as of 27 Jan 2026 are:
- New 52-week low price: Rs.433.45
- One-year stock return: -26.52%
- Sensex one-year return: +8.37%
- Mojo Score: 31.0 (Sell grade, downgraded from Strong Sell)
- Operating cash flow (yearly): Rs.5.04 crores (lowest recorded)
- ROCE (half-year): 14.67% (lowest recorded)
- Debtors turnover ratio (half-year): 7.14 times (lowest recorded)
- Debt-to-equity ratio (average): 0.08 times
- Price-to-book value: 2.0
- Return on equity: 10.5%
These figures collectively illustrate the pressures faced by Ecoplast Ltd in maintaining its market position and valuation amidst a challenging environment.
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