International Combustion (India) Ltd Falls to 52-Week Low of Rs.456

Stock Price Movement and Market Context

On 17 Feb 2026, International Combustion (India) Ltd's share price touched Rs.456, the lowest level recorded in the past year. This new low comes after a prolonged period of decline, with the stock falling by 38.01% over the last twelve months. The stock underperformed its sector, registering a day change of just 0.10%, which was 0.74% below the Industrial Manufacturing sector's performance. Despite this, the stock showed a modest gain today, breaking a six-day streak of consecutive falls.

The stock is currently trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, indicating a sustained downward trend. In contrast, the broader market, represented by the Sensex, opened flat but gained slightly to trade at 83,291.04, just 3.44% shy of its 52-week high of 86,159.02. The Sensex's 50-day moving average remains above its 200-day average, signalling a generally positive market trend, led by mega-cap stocks.

Financial Performance Highlights

The company’s recent quarterly results reflect ongoing difficulties. For the quarter ending December 2025, International Combustion reported a net loss (PAT) of Rs.2.65 crores, a sharp decline of 170.7% compared to the previous period. Net sales also fell by 12.80% to Rs.72.19 crores. The half-year return on capital employed (ROCE) was recorded at a low 9.34%, underscoring limited efficiency in capital utilisation.

Over the past year, the company’s profits have contracted by 71.9%, further contributing to the stock’s negative performance. The average return on equity (ROE) stands at 8.41%, which is considered low and indicative of modest profitability relative to shareholders’ funds. This figure has contributed to the stock’s downgrade from a 'Sell' to a 'Strong Sell' rating on 4 Nov 2025, with a current Mojo Score of 26.0, reflecting weak fundamentals and investor sentiment.

Long-Term and Relative Performance

International Combustion’s stock has consistently underperformed broader market indices and its peer group over multiple time frames. The stock’s 1-year return of -38.01% contrasts sharply with the Sensex’s positive 9.60% return over the same period. Additionally, the stock has lagged behind the BSE500 index in the last three years, one year, and three months, highlighting persistent challenges in maintaining competitive performance.

Despite a low average debt-to-equity ratio of 0.06 times, which suggests limited financial leverage, the company’s valuation metrics indicate a mixed picture. The stock trades at a price-to-book value of 0.9, which is considered fair but slightly premium relative to its peers’ historical averages. The return on equity of 2.5% further supports this valuation as fair, though it remains below levels typically associated with stronger profitability.

Shareholding and Management Considerations

The majority shareholding remains with the company’s promoters, maintaining a stable ownership structure. However, the company’s management efficiency, as reflected in its financial ratios and recent results, has been rated poorly, contributing to the downgrade in its Mojo Grade to 'Strong Sell'. The Market Cap Grade stands at 4, indicating a relatively modest market capitalisation within its sector.

Summary of Key Metrics

To summarise, International Combustion (India) Ltd’s stock has declined to Rs.456, its lowest in 52 weeks, reflecting a combination of subdued sales, negative profitability, and weak returns on equity and capital employed. The stock’s performance contrasts with the broader market’s modest gains and the Sensex’s proximity to its 52-week high. The company’s financial health is characterised by low leverage but limited profitability, which has been reflected in its recent downgrade to a 'Strong Sell' rating by MarketsMOJO.

While the stock has shown a slight gain today after a prolonged decline, it remains below all major moving averages, signalling continued caution among market participants. The company’s valuation metrics suggest a fair price relative to book value, but the overall financial indicators point to ongoing challenges in generating shareholder value.

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