Recent Price Movement and Market Context
On 26 Feb 2026, Modern Shares & Stockbrokers Ltd’s stock price touched Rs.31.5, its lowest level in the past year. This decline comes after three consecutive days of losses, during which the stock has fallen by 9.97%. The day’s performance saw the stock underperform its sector by 1.06%, reflecting broader pressures within the NBFC segment. 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 a persistent bearish trend.
In comparison, the benchmark Sensex opened positively with a gain of 142.71 points but reversed course to close 325.37 points lower at 82,093.41, down 0.22%. Despite this dip, the Sensex remains within 4.95% of its 52-week high of 86,159.02. The index’s 50-day moving average remains above its 200-day moving average, indicating a generally positive medium-term market trend contrasting with the stock’s performance.
Financial Performance and Valuation Metrics
Modern Shares & Stockbrokers Ltd’s financial metrics reveal challenges that have contributed to the stock’s decline. The company reported flat quarterly results for December 2025, with PBDIT at a low of Rs. -0.03 crore and PBT less other income at Rs. -0.04 crore. Earnings per share (EPS) also hit a quarterly low of Rs. -0.17, underscoring the subdued profitability environment.
Over the past year, the company’s net sales have grown at an annual rate of 8.06%, while operating profit has increased by 8.88%. However, these growth rates have not translated into improved profitability, as reflected in a return on equity (ROE) of just 1.6%. The stock’s price-to-book value stands at 0.7, indicating a valuation premium relative to its peer group’s historical averages despite the modest returns.
In terms of market capitalisation, the company holds a grade of 4, reflecting its size and liquidity characteristics within the NBFC sector. The Mojo Score for Modern Shares & Stockbrokers Ltd is 17.0, with a recent downgrade from a Sell to a Strong Sell rating on 28 Feb 2025, signalling deteriorated fundamentals and market sentiment.
Our latest monthly pick, this Large Cap from Aluminium & Aluminium Products, is outperforming the market! See the analysis that helped our Investment Committee select this winner.
- - Market-beating performance
- - Committee-backed winner
- - Aluminium & Aluminium Products standout
Comparative Performance and Market Position
Modern Shares & Stockbrokers Ltd has underperformed the broader market significantly over the last year. While the Sensex and BSE500 indices have generated returns of 10.06% and 14.06% respectively, the stock has delivered a negative return of 33.05%. This divergence highlights the stock’s relative weakness within the NBFC sector and the wider market.
The stock’s 52-week high was Rs.53, indicating a substantial decline of approximately 40.6% from that peak to the current 52-week low. This downward trajectory reflects persistent pressures on the company’s earnings and valuation, compounded by subdued investor confidence.
Shareholding and Structural Factors
The majority shareholding of Modern Shares & Stockbrokers Ltd remains with the promoters, which may influence strategic decisions and capital allocation. The company’s long-term fundamental strength is considered weak, as evidenced by its operating losses and modest growth rates. These factors contribute to the cautious stance reflected in its Strong Sell Mojo Grade.
Modern Shares & Stockbrokers Ltd or something better? Our SwitchER feature analyzes this micro-cap Non Banking Financial Company (NBFC) stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Summary of Key Financial Indicators
The company’s operating profit growth of 8.88% and net sales growth of 8.06% have not been sufficient to offset the impact of losses at the operating level. The quarterly PBDIT and PBT figures remain negative, with Rs. -0.03 crore and Rs. -0.04 crore respectively, while EPS is at a low of Rs. -0.17. These figures underscore the challenges in generating consistent profitability.
Valuation metrics suggest the stock is trading at a premium relative to its peers, despite the weak financial performance. The price-to-book ratio of 0.7 and ROE of 1.6% indicate that the market is pricing in expectations that have yet to materialise in earnings or growth.
Over the past year, profits have declined by 14%, further highlighting the pressures on the company’s financial health. This decline contrasts with the broader market’s positive returns and reflects the stock’s relative underperformance within the NBFC sector.
Market and Sector Dynamics
The NBFC sector has faced a mixed environment, with some companies showing resilience while others, including Modern Shares & Stockbrokers Ltd, have struggled to maintain momentum. The stock’s performance relative to sector averages and the broader market indices indicates ongoing challenges in regaining investor confidence and improving financial metrics.
Conclusion
Modern Shares & Stockbrokers Ltd’s fall to a 52-week low of Rs.31.5 reflects a combination of subdued financial results, valuation pressures, and broader market dynamics. The stock’s underperformance relative to the Sensex and sector peers, alongside negative quarterly earnings and a downgrade to a Strong Sell rating, illustrate the hurdles the company currently faces. While the broader market shows signs of strength, the company’s financial indicators and price trends suggest a cautious outlook for the stock’s near-term trajectory.
Only Rs. 9,999 - Get MojoOne for 1 Year + 3 Months FREE (60% Off) Start Today
