Key Events This Week
Feb 2: Q2 FY26 profit slumps 51% despite steady revenue
Feb 2: Downgrade to Sell rating amid mixed financial and technical signals
Feb 5: Sharp price drop of 3.43% following profit concerns
Feb 6: Modest recovery with 2.41% gain, closing at Rs.17.00
Feb 2: Profit Decline and Downgrade Trigger Initial Weakness
Jet Freight Logistics opened the week at Rs.17.39, marginally down 0.06% from the previous close. This subdued start coincided with the release of the company’s Q2 FY26 results, which revealed a 51% slump in profit despite resilient revenue figures. The quarterly net sales stood at ₹83.78 crores, reflecting stability, but profit after tax plunged sharply, signalling deteriorating operational efficiency.
On the same day, MarketsMOJO downgraded Jet Freight from a 'Hold' to a 'Sell' rating, citing a combination of weakening fundamentals, flat financial trends, and mixed technical indicators. The downgrade highlighted concerns such as a negative five-year CAGR of -0.42% in net sales, modest profitability metrics with an average ROE of 8.30%, and a high Debt to EBITDA ratio of 6.15 times, indicating elevated financial risk.
This news weighed heavily on investor sentiment, contributing to the stock’s underperformance relative to the Sensex, which fell 1.03% that day. The stock’s volume was notably higher at 57,893 shares, reflecting active trading amid the negative news flow.
Feb 3: Slight Recovery Amid Broad Market Rally
Despite the prior day’s negative developments, Jet Freight’s share price edged up 0.17% to Rs.17.42 on 3 February, its highest level for the week. This modest gain occurred alongside a robust Sensex rally of 2.63%, driven by broader market optimism. However, the stock’s volume dropped sharply to 4,417 shares, suggesting cautious participation from investors.
The slight recovery was insufficient to offset the underlying concerns, as the company’s valuation, while attractive at an enterprise value to capital employed ratio of 1.1, remained overshadowed by operational challenges. Additionally, promoter share pledging increased to 26.16%, up 13.89% from the previous quarter, adding to the stock’s risk profile.
Perfect timing to enter! This Small Cap from IT - Software just turned profitable with growth momentum clearly building up. Get in before the broader market notices!
- - New profitability achieved
- - Growth momentum building
- - Under-the-radar entry
Feb 4: Profit Concerns Weigh as Stock Declines 1.32%
The stock reversed course on 4 February, falling 1.32% to Rs.17.19 amid continued investor caution. The Sensex, however, advanced 0.37%, indicating that Jet Freight was underperforming the broader market. Trading volume remained low at 5,730 shares, reflecting subdued interest.
The decline aligned with the ongoing concerns about the company’s flat financial performance and high leverage. The absence of dividend payouts, with a current dividend payout ratio of 0.00%, further dampened investor enthusiasm. Technical indicators also showed mixed signals, with weekly and monthly MACD turning mildly bearish and monthly RSI indicating potential downward pressure.
Feb 5: Sharp Drop on Heightened Risk Perception
Jet Freight’s share price suffered its steepest fall of the week on 5 February, dropping 3.43% to Rs.16.60. This decline contrasted with a 0.53% fall in the Sensex, signalling a sharper negative reaction to company-specific factors. Volume increased to 14,112 shares, suggesting active selling pressure.
The sharp drop reflected intensified concerns over the company’s deteriorating profitability and financial risk. The high Debt to EBITDA ratio and increased promoter share pledging likely contributed to the negative sentiment. Technical analysis indicated a shift from bullish to mildly bullish trends, with key momentum indicators weakening.
Feb 6: Modest Recovery as Market Stabilises
On the final trading day of the week, Jet Freight rebounded 2.41% to close at Rs.17.00, recovering some losses amid a broadly stable market that saw the Sensex gain 0.10%. However, the recovery was on low volume of 2,754 shares, indicating limited conviction behind the bounce.
The technical outlook remains cautious, with daily moving averages mildly bullish but offset by bearish monthly momentum indicators. The stock’s 52-week trading range remains wide, from a low of Rs.10.45 to a high of Rs.21.45, underscoring volatility and uncertainty.
Jet Freight Logistics Ltd or something better? Our SwitchER feature analyzes this micro-cap stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Daily Price Comparison: Jet Freight Logistics vs Sensex
| Date | Stock Price | Day Change | Sensex | Day Change |
|---|---|---|---|---|
| 2026-02-02 | Rs.17.39 | -0.06% | 35,814.09 | -1.03% |
| 2026-02-03 | Rs.17.42 | +0.17% | 36,755.96 | +2.63% |
| 2026-02-04 | Rs.17.19 | -1.32% | 36,890.21 | +0.37% |
| 2026-02-05 | Rs.16.60 | -3.43% | 36,695.11 | -0.53% |
| 2026-02-06 | Rs.17.00 | +2.41% | 36,730.20 | +0.10% |
Key Takeaways
Profitability Concerns: The 51% profit slump in Q2 FY26 despite steady revenue highlights operational challenges and margin pressures that have unsettled investors.
Downgrade Impact: The MarketsMOJO downgrade to 'Sell' reflects a comprehensive reassessment of Jet Freight’s fundamentals, technical signals, and financial risks, contributing to the stock’s underperformance.
Valuation vs Risk: While the stock’s valuation metrics remain attractive, including a low enterprise value to capital employed ratio of 1.1, these are offset by high leverage, flat sales growth, and increased promoter share pledging.
Technical Signals Mixed: Momentum indicators show a shift from bullish to mildly bullish, with bearish monthly RSI and MACD suggesting caution despite some daily moving average support.
Market Underperformance: The stock declined 2.30% over the week while the Sensex gained 1.51%, indicating relative weakness amid broader market strength.
Unlock special upgrade rates for a limited period. Start Saving Now →