Hazoor Multi Projects Ltd Falls 5.44%: Downgrade and Bearish Momentum Drive Decline

23 February 2026: Stock Opens Lower Amid Market Gains

Hazoor Multi Projects Ltd began the week on a subdued note, closing at Rs.33.67, down 1.00% from the previous Friday’s close of Rs.34.01. This decline contrasted with the Sensex’s positive 0.39% gain to 36,817.86, signalling early weakness in the stock despite broader market strength. The volume was robust at 551,063 shares, indicating active trading interest amid cautious sentiment.

24 February 2026: Downgrade to Strong Sell Triggers Sharp Decline

The most significant event of the week occurred on 24 February, when MarketsMOJO downgraded Hazoor Multi Projects Ltd from a Sell to a Strong Sell rating. This downgrade was driven by a combination of weak financial results and deteriorating technical indicators. The company reported a 20.15% drop in net sales to ₹139.04 crores in Q3 FY25-26 and a 39.8% decline in profit before tax excluding other income to ₹4.95 crores. The persistent negative quarterly performance, now extending to nine consecutive quarters, underscored the company’s operational challenges.

Despite a relatively attractive valuation with a ROCE of 6.4% and an enterprise value to capital employed ratio of 1.4, the downgrade reflected heightened risk due to declining profitability and a negative earnings trajectory. The stock price reacted accordingly, falling 1.96% to close at Rs.33.01 on the day, while the Sensex declined 0.78% to 36,530.09.

25 February 2026: Technical Indicators Confirm Bearish Momentum

On 25 February, the stock continued its downward trajectory, closing at Rs.32.36, down 1.97% from the previous day’s close. This decline coincided with a further deterioration in technical momentum, as key indicators shifted from mildly bearish to outright bearish. The daily moving averages remained firmly negative, while Bollinger Bands on the weekly chart indicated increased downward pressure.

The Moving Average Convergence Divergence (MACD) presented a mixed picture, mildly bullish on a weekly basis but bearish monthly, suggesting short-term rallies may be limited amid a weakening longer-term trend. The Relative Strength Index (RSI) hovered in neutral territory, indicating indecision among traders. The Know Sure Thing (KST) oscillator echoed this mixed sentiment, mildly bullish weekly but bearish monthly.

Volume was elevated at 441,791 shares, reflecting active trading amid the technical shift. The Sensex, in contrast, gained 0.41% to 36,679.75, highlighting the stock’s underperformance relative to the broader market.

26 February 2026: Continued Decline Despite Market Gains

Hazoor Multi Projects Ltd’s stock price declined further to Rs.32.03, down 1.02% on the day, as bearish momentum persisted. The volume of 370,251 shares remained significant, suggesting sustained selling pressure. The Sensex rose 0.19% to 36,748.49, underscoring the stock’s divergence from market trends. Technical indicators continued to signal caution, with daily moving averages and Bollinger Bands maintaining a negative stance.

27 February 2026: Slight Recovery Amid Market Weakness

The week concluded with a modest recovery as the stock closed at Rs.32.16, up 0.41% from the previous day’s close. However, this small gain was insufficient to offset the week’s losses. The Sensex declined 1.16% to 36,322.56, reflecting broader market weakness. Volume was notably lower at 122,605 shares, indicating reduced trading activity as the week ended.

Despite the slight uptick, the overall technical outlook remains bearish, with the stock trading near its 52-week low of Rs.26.80 and well below its 52-week high of Rs.50.95. The downgrade to a Strong Sell rating and the persistent negative financial trends continue to weigh heavily on investor sentiment.

Key Takeaways

Financial Weakness: The company’s ninth consecutive quarter of negative results, with a 20.15% decline in net sales and a 39.8% drop in profit before tax excluding other income, highlights ongoing operational challenges and deteriorating fundamentals.

Technical Deterioration: The shift from mildly bearish to bearish technical indicators, including moving averages and Bollinger Bands, signals increased downside risk. Mixed momentum indicators such as MACD and KST suggest short-term volatility amid a negative longer-term trend.

Valuation Context: While valuation metrics such as ROCE and enterprise value to capital employed ratio remain relatively attractive, these appear to reflect the market’s cautious stance given the company’s weak earnings and negative price performance.

Market Underperformance: The stock’s 5.44% weekly decline significantly outpaced the Sensex’s 0.96% fall, underscoring its relative weakness. Year-to-date and one-year returns also lag the benchmark, despite impressive long-term gains over three and ten years.

Conclusion

Hazoor Multi Projects Ltd’s week was dominated by a downgrade to Strong Sell and a clear shift to bearish technical momentum, reflecting deepening concerns over its financial health and market outlook. The persistent negative quarterly results and declining profitability have eroded investor confidence, while technical indicators warn of further downside risk. Although valuation metrics suggest the stock is priced cheaply, this appears justified by the company’s operational struggles and market underperformance.

Investors should remain cautious given the current environment, as the stock trades near its lower annual range with limited signs of immediate recovery. The combination of weak fundamentals and bearish technical signals suggests that Hazoor Multi Projects Ltd may continue to face headwinds in the near term.

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