Stock Price Movement and Market Context
On 27 Jan 2026, HPL Electric & Power Ltd’s share price touched an intraday low of Rs.308.2, representing a 2.9% drop during the trading session. The stock closed with a day change of -1.53%, underperforming its sector by 2.39%. This decline extends a two-day losing streak, during which the stock has fallen by 3.49% cumulatively.
The stock is currently trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained downward momentum. This technical positioning contrasts with the broader market, where the Sensex recovered from an early negative opening to close 0.1% higher at 81,621.30 points. Notably, while the Sensex trades below its 50-day moving average, the 50DMA remains above the 200DMA, indicating a mixed but cautiously optimistic market environment.
Comparative Performance Over One Year
Over the past year, HPL Electric & Power Ltd has recorded a total return of -30.63%, significantly lagging behind the Sensex’s positive 8.30% return and the BSE500’s 8.37% gain. This underperformance highlights the stock’s relative weakness within the broader market context. The 52-week high for the stock was Rs.639.5, underscoring the steep decline from its peak levels.
Financial Metrics and Valuation
Despite the share price decline, the company’s financial fundamentals present a more nuanced picture. Operating profit has grown at an annualised rate of 29.28%, reflecting healthy long-term growth in core earnings. Additionally, the company’s return on capital employed (ROCE) stands at 13.3%, indicating efficient utilisation of capital relative to peers.
Valuation metrics also suggest the stock is trading at a discount compared to its peers’ historical averages. The enterprise value to capital employed ratio is 1.7, which is considered attractive within the industry. Furthermore, the company’s profits have increased by 49.4% over the past year, resulting in a price/earnings to growth (PEG) ratio of 0.4, signalling potential value despite the recent price weakness.
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Market Participation and Investor Sentiment
Domestic mutual funds hold a negligible stake in HPL Electric & Power Ltd, with reported ownership at 0%. Given the capacity of these funds to conduct detailed on-the-ground research, their minimal exposure may reflect a cautious stance towards the stock’s current valuation or business outlook. This limited institutional interest contrasts with the company’s size and sector presence.
The stock’s Mojo Score currently stands at 37.0, with a Mojo Grade of Sell, upgraded from a previous Strong Sell rating on 14 Nov 2025. The market capitalisation grade is rated at 3, indicating a mid-tier valuation relative to market peers.
Sector and Broader Market Dynamics
Within the Other Electrical Equipment sector, HPL Electric & Power Ltd’s performance has been subdued. On the same trading day, other indices such as NIFTY MEDIA and NIFTY REALTY also hit new 52-week lows, suggesting sectoral pressures in certain segments of the market. Meanwhile, mega-cap stocks have led the broader market recovery, contributing to the Sensex’s modest gains.
Summary of Key Price and Performance Indicators
To summarise, the stock’s key price points and performance metrics include:
- New 52-week low: Rs.308.2
- 52-week high: Rs.639.5
- One-year return: -30.63%
- Sector underperformance: -2.39% relative to sector today
- Consecutive two-day decline: -3.49%
- Trading below all major moving averages
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Conclusion
HPL Electric & Power Ltd’s decline to a 52-week low of Rs.308.2 reflects a period of sustained price weakness amid broader market fluctuations and sectoral pressures. While the stock has underperformed the market significantly over the past year, the company’s financial metrics indicate ongoing profit growth and attractive valuation ratios. The limited participation by domestic mutual funds and the stock’s position below key moving averages underscore the cautious market sentiment currently surrounding the company.
Investors monitoring the stock should note the divergence between price performance and underlying profit growth, as well as the recent upgrade in the Mojo Grade from Strong Sell to Sell, which may signal evolving market perceptions.
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