Mysore Petro Chemicals Ltd Falls to 52-Week Low of Rs.96.45

Stock Price Movement and Market Context

The stock of Mysore Petro Chemicals Ltd recorded a fresh 52-week low at Rs.96.45 on 21 Jan 2026, reflecting a continued downward trajectory. Despite a modest gain of 0.84% over the last two trading sessions, the stock remains well below its moving averages, trading lower than its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. This persistent weakness contrasts with the broader market, where the Sensex, although down by 0.7% today and trading at 81,609.10, has seen a less severe decline over the past year.

Over the last three weeks, the Sensex has experienced a cumulative fall of 4.84%, while Mysore Petro Chemicals Ltd’s stock has underperformed significantly with a one-year return of -36.63%, compared to the Sensex’s positive 7.61% return. The stock’s 52-week high was Rs.163.50, highlighting the extent of the decline from its peak.

Financial Performance and Fundamental Indicators

The company’s financial metrics reveal several areas of concern. Mysore Petro Chemicals Ltd has reported operating losses, which have contributed to a weak long-term fundamental strength assessment. The company’s ability to service its debt is notably strained, with an average EBIT to interest ratio of -6.61, indicating that earnings before interest and tax are insufficient to cover interest expenses.

Recent quarterly results further underline the challenges faced. The latest six-month period saw a net loss (PAT) of Rs. -0.30 crore, representing a decline of 46.68% compared to previous periods. Net sales for the quarter stood at Rs.5.03 crore, down 33.5% relative to the average of the preceding four quarters. Return on capital employed (ROCE) for the half-year was reported at a low 3.30%, signalling limited efficiency in generating returns from capital invested.

Valuation and Risk Profile

The stock is currently rated as a Strong Sell with a Mojo Score of 3.0, downgraded from Sell on 21 Nov 2024. The Market Cap Grade stands at 4, reflecting the company’s micro-cap status within the miscellaneous sector. The stock’s valuation appears risky when compared to its historical averages, with a PEG ratio of 0.1 despite a 65.7% rise in profits over the past year. This disparity suggests that the market is pricing in significant concerns about the company’s sustainability and growth prospects.

Negative EBITDA figures and the company’s reported losses have contributed to a negative return on capital employed, further emphasising the financial strain. The stock’s performance has been below par not only in the near term but also over the longer horizon, underperforming the BSE500 index over the last three years, one year, and three months.

Shareholding and Sectoral Position

The majority shareholding remains with the promoters, indicating concentrated ownership. Mysore Petro Chemicals Ltd operates within the miscellaneous industry and sector, which has seen mixed performance in recent periods. Despite the stock outperforming its sector by 0.85% today, the broader sectoral and market trends have not provided sufficient support to reverse the stock’s downward momentum.

Summary of Key Metrics

To summarise, Mysore Petro Chemicals Ltd’s stock has declined to Rs.96.45, its lowest level in 52 weeks, reflecting ongoing financial and market pressures. The company’s operating losses, weak debt servicing capacity, and negative returns on capital employed have contributed to a Strong Sell rating. The stock’s underperformance relative to the Sensex and its sector, combined with subdued sales and profit figures, highlight the challenges faced by the company in the current environment.

While the stock has shown a slight recovery over the past two days, it remains below all key moving averages, signalling continued caution among market participants. The broader market context, with the Sensex also experiencing a decline, adds to the subdued sentiment surrounding the stock.

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