Manomay Tex India Hits Lower Circuit Amid Heavy Selling Pressure

Dec 04 2025 10:00 AM IST
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Manomay Tex India Ltd, a micro-cap player in the Garments & Apparels sector, witnessed a sharp decline on 4 December 2025 as the stock hit its lower circuit price limit, reflecting intense selling pressure and a significant drop in investor participation.



Intraday Price Movement and Circuit Breaker Activation


On the trading day, Manomay Tex India opened at ₹217.35, marking a gap down of 4.98% from its previous close. The stock remained locked at this price throughout the session, touching an intraday low and high of ₹217.35, which corresponds to the maximum permissible daily price band of 5%. This triggered the lower circuit breaker, preventing further decline in the stock price for the day.


The total traded volume was notably low at just 0.0096 lakh shares, with a turnover of ₹0.0208656 crore, indicating subdued trading activity amid the price fall. The limited liquidity and unfilled supply at this price level suggest a lack of buyers willing to absorb the selling pressure.



Performance Relative to Sector and Market Benchmarks


Manomay Tex India underperformed its sector peers, with the Garments & Apparels sector registering a marginal decline of 0.24% on the same day. The broader Sensex index, in contrast, closed with a slight gain of 0.10%, highlighting the stock’s relative weakness in the current market environment.


Over the past four consecutive trading sessions, the stock has recorded a cumulative decline of 15.96%, signalling sustained bearish sentiment among investors. This persistent downward trend has intensified concerns about the company’s near-term prospects within the micro-cap segment.




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Investor Participation and Liquidity Analysis


Investor participation in Manomay Tex India has shown a marked decline. Delivery volume on 3 December 2025 was recorded at 3,570 shares, representing a steep fall of approximately 94% compared to the five-day average delivery volume. This sharp drop in delivery volume indicates a waning interest from long-term investors and a possible shift towards short-term trading or exit strategies.


Despite the micro-cap status and a market capitalisation of ₹422 crore, the stock maintains a degree of liquidity sufficient for trade sizes up to ₹0.11 crore, based on 2% of the five-day average traded value. However, the current trading session’s low turnover and volume suggest that liquidity is constrained under the prevailing bearish conditions.



Technical Positioning and Moving Averages


From a technical perspective, Manomay Tex India’s last traded price of ₹217.35 is positioned above its 50-day, 100-day, and 200-day moving averages, which typically indicate longer-term support levels. However, the price remains below the 5-day and 20-day moving averages, signalling short-term weakness and downward momentum.


This divergence between short-term and long-term moving averages reflects the current market uncertainty surrounding the stock, with recent trading sessions dominated by selling pressure and a lack of recovery attempts.



Sectoral Context and Market Environment


The Garments & Apparels sector has experienced mixed performance in recent weeks, with some stocks showing resilience while others face headwinds from fluctuating demand and input cost pressures. Manomay Tex India’s performance, particularly its recent price declines and lower circuit hit, underscores the challenges faced by smaller players in this competitive industry.


Market participants are closely monitoring the company’s operational updates and financial disclosures for signs of stabilisation or turnaround. Until then, the stock’s price action is likely to remain volatile, influenced by broader sector trends and investor sentiment.




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Outlook and Investor Considerations


Manomay Tex India’s recent trading pattern, characterised by a lower circuit hit and persistent declines over multiple sessions, highlights the prevailing bearish sentiment and the challenges in finding buyer support at current levels. The unfilled supply and limited trading volumes suggest that investors are cautious, possibly awaiting clearer signals on the company’s operational performance and sector outlook.


Given the stock’s micro-cap status and the volatility observed, investors may wish to closely monitor upcoming corporate announcements and sector developments before making fresh commitments. The divergence between short-term and long-term technical indicators also advises prudence, as the stock navigates through a period of uncertainty.


In the broader context, the Garments & Apparels sector’s performance and market dynamics will continue to influence Manomay Tex India’s price trajectory. Market participants should weigh these factors alongside liquidity considerations and trading volumes when assessing the stock’s near-term prospects.



Summary


Manomay Tex India Ltd’s stock performance on 4 December 2025 was marked by a significant decline, culminating in a lower circuit price lock at ₹217.35. The stock’s underperformance relative to its sector and the Sensex, combined with falling investor participation and subdued liquidity, paints a picture of heightened selling pressure and market caution. While longer-term moving averages provide some technical support, short-term indicators and recent price action suggest continued volatility. Investors are advised to remain vigilant and consider broader sector trends and company-specific developments in their decision-making process.






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