GE Power India Ltd Plunges to Lower Circuit Amid Heavy Selling Pressure

Intraday Price Action and Volatility

GE Power India Ltd opened the day with a gap down of 3.99%, signalling immediate bearish sentiment among investors. The stock’s intraday low touched ₹496.85, exactly the lower circuit price band limit of 10%, marking a steep decline of ₹55.20 from the previous close. This sharp fall came after four consecutive days of gains, indicating a sudden reversal in market mood.

Volatility was notably high, with an intraday price range of 6.9% calculated from the weighted average price. The weighted average price itself was skewed towards the lower end of the day’s range, reflecting that the majority of traded volume occurred near the bottom price levels. This pattern is typical of panic selling, where sellers aggressively offload shares at the lowest possible prices.

Trading Volumes and Liquidity

Trading volumes surged to 39.21 lakh shares, a substantial increase compared to the stock’s recent averages. Delivery volumes on 17 Feb rose by 41.07% to 19.23 lakh shares, signalling heightened investor participation ahead of the price drop. Despite the heavy selling, liquidity remained adequate, with the stock’s turnover reaching ₹200.35 crore, allowing for sizeable trade executions without excessive price impact beyond the circuit limit.

However, the unfilled supply of shares at the lower circuit price suggests that sellers were unable to find buyers willing to absorb the volume at higher prices, exacerbating the downward pressure. This imbalance between supply and demand is a key factor behind the stock’s inability to recover intraday and the eventual closure at the circuit floor.

Sector and Market Comparison

GE Power India’s 10% decline starkly contrasts with the Heavy Electrical Equipment sector’s modest gain of 0.35% on the same day. The benchmark Sensex also recorded a mild loss of 0.23%, underscoring that the stock’s plunge was largely company-specific rather than a reflection of broader market weakness.

This divergence highlights the stock’s vulnerability to negative sentiment and possibly company-specific concerns, which have triggered a sharp sell-off despite a relatively stable sector environment.

Technical and Fundamental Context

Despite the sharp fall, GE Power India remains priced above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating that the recent sell-off may be a short-term correction rather than a sustained downtrend. However, the sudden reversal after a four-day rally raises caution among traders and investors.

From a fundamental perspective, the company holds a Market Capitalisation of ₹3,468 crore, categorising it as a small-cap stock within the Heavy Electrical Equipment industry. Its current Mojo Score stands at 57.0, reflecting a Hold rating, which was upgraded from a Sell on 12 Feb 2026. The Market Cap Grade is 3, signalling moderate market capitalisation relative to peers.

These metrics suggest that while the stock has some underlying strength, it remains vulnerable to volatility and market sentiment shifts, especially given its small-cap status and sector-specific risks.

Investor Sentiment and Outlook

The heavy selling pressure and the stock hitting the lower circuit limit indicate a wave of panic selling, possibly triggered by negative news flow, profit booking, or broader concerns about the company’s near-term prospects. The inability of buyers to absorb the supply at higher prices points to a lack of confidence among market participants.

Investors should closely monitor upcoming corporate announcements, sector developments, and broader market trends to gauge whether this decline represents a buying opportunity or the start of a deeper correction. Given the stock’s Hold rating and recent upgrade, cautious investors may prefer to wait for signs of stabilisation before increasing exposure.

Conclusion

GE Power India Ltd’s sharp 10% fall to the lower circuit price limit on 18 Feb 2026 underscores the intense selling pressure and panic among investors. The stock’s underperformance relative to its sector and the broader market, combined with high volatility and unfilled supply, signals caution for traders and long-term investors alike.

While the company’s fundamentals and recent rating upgrade provide some support, the current market dynamics suggest that investors should remain vigilant and consider risk management strategies. Monitoring volume trends, price action, and sector developments will be crucial in assessing the stock’s next directional move.

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