Info Edge Declines 6.18% Amid Rising Open Interest and 52-Week Lows

Monday, 16 February 2026: Weak Start Amid Market Gains

Info Edge began the week on a weak note, closing at Rs.1,125.40, down 1.60% from the previous Friday’s close of Rs.1,143.75. This decline contrasted with the Sensex’s 0.70% gain to 36,787.89, highlighting early underperformance. The stock’s volume was robust at 389,770 shares, signalling active trading despite the negative price action. The divergence suggested early profit-taking or cautious sentiment among investors, setting the tone for a challenging week ahead.

Tuesday, 17 February 2026: Marginal Recovery on Low Volume

The stock edged up 0.46% to Rs.1,130.55 on subdued volume of 36,027 shares, a sharp drop from the previous day’s activity. The Sensex continued its upward trajectory, gaining 0.32% to 36,904.38. Info Edge’s slight recovery was insufficient to reverse the week’s downtrend, with the low volume indicating limited conviction behind the move. This day’s performance suggested a pause in selling rather than a sustained rebound.

Wednesday, 18 February 2026: Fresh 52-Week Low and Rising Open Interest

Info Edge’s shares fell sharply to a new 52-week low of Rs.1,103, closing at Rs.1,118.55, down 1.06%. This decline occurred despite the Sensex gaining 0.43% to 37,062.35, underscoring stock-specific weakness. The day was marked by a significant 13.65% surge in open interest in the derivatives segment, rising to 59,087 contracts, alongside a futures volume of 43,048 contracts. The weighted average price of traded contracts clustered near the day’s low of Rs.1,096.3, indicating bearish positioning and potential fresh short bets. Delivery volumes dropped sharply by 64.73%, signalling waning long-term investor conviction. Despite the stock’s underperformance, the company’s latest financials showed robust profit growth, with net profit after tax rising 122.88% year-on-year to Rs.609.60 crore and record net sales of Rs.819.41 crore in the recent quarter.

Thursday, 19 February 2026: Continued Decline and Open Interest Surge

The downward momentum intensified as Info Edge hit another 52-week low of Rs.1,090.4, closing at Rs.1,095.80, down 2.03%. This decline outpaced the Sensex’s 1.45% fall to 36,523.88, and the stock underperformed its sector by 1.21%. Open interest in derivatives rose by 11.99% to 57,808 contracts, with futures volume at 30,312 contracts. The combined futures and options value reached ₹6,71,48.75 lakhs, reflecting heightened speculative activity. Delivery volumes declined by 14.63%, indicating reduced long-term investor participation. The stock’s technical position remained weak, trading below all major moving averages, signalling sustained bearish momentum. Despite this, Info Edge’s financial metrics remained strong, with a PEG ratio of 0.5 and consistent profitability over five quarters. Institutional holdings stood firm at 52.15%, suggesting confidence in fundamentals amid price weakness.

Friday, 20 February 2026: Week Closes at Fresh 52-Week Low Amid Bearish Positioning

Info Edge’s shares closed the week at Rs.1,073.05, down 2.08% on the day and 6.18% for the week. The stock recorded a new 52-week low of Rs.1,081.45 during the session, underperforming the Sensex which gained 0.41% to 36,674.32. Open interest surged 15.03% to 62,487 contracts, with futures volume at 34,127 contracts and a total derivatives market value exceeding ₹78,652 lakhs. The weighted average price of traded volumes remained near the lows, indicating continued bearish bets or hedging activity. Delivery volumes dropped 42.6%, reflecting diminished conviction among long-term holders. The stock’s Mojo Score remains at 43.0 with a Sell grade, reflecting deteriorated fundamentals and technicals. Despite strong profit growth and a conservative debt profile, the stock’s price action and market positioning suggest ongoing challenges in regaining upward momentum.

Weekly Price Performance: Info Edge vs Sensex

Key Takeaways

Negative Price Momentum: Info Edge’s stock declined 6.18% over the week, significantly underperforming the Sensex’s 0.39% gain. The stock hit multiple 52-week lows, reflecting sustained selling pressure and technical weakness.

Rising Open Interest Indicates Bearish Positioning: Open interest in derivatives surged by over 40% during the week, with volumes concentrated near intraday lows. This suggests increased short positions or hedging activity anticipating further downside or volatility.

Strong Financials Amid Market Skepticism: Despite the price weakness, Info Edge reported robust profit growth with a 122.88% increase in net profit after tax over six months and record net sales. The company maintains a conservative debt profile and high institutional ownership (52.15%).

Technical Indicators Remain Bearish: The stock traded below all major moving averages throughout the week, signalling continued downward momentum. Delivery volumes declined sharply, indicating reduced conviction among long-term holders.

Mojo Grade and Score Reflect Caution: The company’s Mojo Score stands at 43.0 with a Sell grade, downgraded from Hold in July 2025, reflecting deteriorated fundamentals and technical outlook.

Conclusion

Info Edge (India) Ltd experienced a challenging week marked by a 6.18% decline in share price, hitting fresh 52-week lows amid rising open interest and bearish market positioning. While the company’s financial results demonstrate strong profit growth and operational efficiency, the stock’s technical weakness and increased speculative activity in derivatives suggest caution. The divergence between robust fundamentals and negative price action highlights a complex market environment where valuation concerns and momentum factors dominate investor sentiment. Market participants should closely monitor open interest trends, delivery volumes, and price movements for signs of stabilisation or further downside risk in this key e-retail sector stock.

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