Epigral Stock Falls to 52-Week Low of Rs.1400 Amidst Prolonged Underperformance

Stock Price Movement and Market Context

On 25 Nov 2025, Epigral’s share price touched Rs.1400, marking its lowest level in the past 52 weeks. Despite this, the stock outperformed its sector peers marginally today, registering a day change of 0.94%. However, it remains below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling persistent downward pressure on the stock.

In contrast, the broader market has shown resilience. The Sensex opened higher at 85,008.93 points, gaining 108.22 points (0.13%) before trading slightly lower at 84,964.83 points (0.08%). The Sensex is currently less than 1% away from its 52-week high of 85,801.70 points and is supported by bullish moving averages, with the 50-day moving average positioned above the 200-day moving average. Mid-cap stocks have also contributed positively, with the BSE Mid Cap index gaining 0.11% today.

Long-Term Performance and Valuation Trends

Epigral’s stock has recorded a return of -28.18% over the last year, significantly underperforming the Sensex, which has shown a positive return of 6.07% during the same period. The stock’s 52-week high was Rs.2195.85, indicating a substantial decline from its peak.

Over the past five years, the company’s operating profit has shown a negative compound annual growth rate of approximately -5.49%, highlighting challenges in sustaining long-term growth. This trend is further reflected in the company’s recent quarterly results.

Recent Financial Results and Profitability Metrics

Epigral’s latest quarterly results reveal a mixed financial picture. The company reported a profit after tax (PAT) of Rs.51.22 crores, which is approximately 52.6% lower than the average PAT of the previous four quarters. Operating profit to net sales ratio for the quarter stood at 22.53%, marking the lowest level recorded in recent periods.

Interest expenses for the latest six months totalled Rs.45.21 crores, representing a growth of 286.41% compared to prior periods. This increase in interest cost has exerted additional pressure on the company’s profitability.

Debt and Efficiency Indicators

Despite the pressures on profitability, Epigral maintains a relatively strong financial position in terms of debt servicing. The company’s debt to EBITDA ratio is 1.34 times, indicating a manageable level of leverage. Additionally, the return on capital employed (ROCE) stands at a robust 23.19%, reflecting efficient utilisation of capital resources by management.

The enterprise value to capital employed ratio is 2.5, suggesting a fair valuation relative to the company’s capital base. Compared to its peers, Epigral’s stock is trading at a discount to historical average valuations, which may reflect market caution given recent performance.

Shareholding and Market Capitalisation

Epigral’s majority shareholding remains with promoters, providing a stable ownership structure. The company holds a market capitalisation grade of 3, indicating its position within the mid-cap segment of the market.

Summary of Performance Trends

Over the last three years, Epigral has underperformed the BSE500 index across multiple time frames, including the last three months and one year. While the stock has generated a negative return of 28.18% over the past year, the company’s profits have shown an increase of 37.1% during the same period. This divergence between profit growth and stock price performance highlights a complex market assessment of the company’s prospects.

The company’s PEG ratio stands at 0.5, indicating the relationship between its price-to-earnings ratio and earnings growth rate. This figure suggests that the stock is valued with consideration to its earnings growth, albeit within the context of recent price declines.

Sector and Industry Positioning

Operating within the Specialty Chemicals industry, Epigral faces competitive pressures and sector-specific dynamics that influence its market valuation. The stock’s current trading levels and valuation metrics reflect both the challenges and strengths inherent in its business model and market environment.

Conclusion

Epigral’s fall to a 52-week low of Rs.1400 underscores a period of subdued stock performance amid mixed financial results and cautious market sentiment. While the company demonstrates strong capital efficiency and manageable debt levels, recent profit declines and elevated interest expenses have contributed to the stock’s downward trajectory. The broader market’s positive momentum contrasts with Epigral’s current valuation, highlighting the differentiated performance within the Specialty Chemicals sector.

Get 2 full years of MojoOne Premium for only Rs. 12,999. Subscribe for 1 year and we'll add another year FREE. Offer valid for a limited time. Start Saving Now →