Recent Price Movement and Market Context
On the day of the new low, National Peroxide Ltd recorded a positive day change of 1.27%, outperforming the Sensex which declined by 0.10%. However, this modest uptick contrasts with the broader trend, as the stock has been falling for three consecutive sessions, losing 4.32% over this period. The share price currently trades below all key moving averages – 5-day, 20-day, 50-day, 100-day, and 200-day – underscoring the prevailing bearish momentum.
Comparatively, the stock’s performance over longer durations has been notably weak. Over the past month, it declined by 9.77%, while the Sensex fell only 1.28%. The three-month return is down 20.94%, in stark contrast to the Sensex’s 5.41% gain. The one-year and year-to-date returns are particularly concerning, with losses of 41.56% and 40.90% respectively, while the Sensex posted gains exceeding 8% in both periods.
Long-Term Performance and Valuation Trends
National Peroxide Ltd’s share price has remained flat over the last three, five, and ten years, registering no appreciable growth. This stagnation is in sharp contrast to the Sensex’s robust gains of 39.07% over three years, 77.21% over five years, and an impressive 225.92% over ten years. The stock’s relative underperformance highlights challenges in generating shareholder value over the long term.
Valuation metrics indicate the stock is trading at levels considered risky relative to its historical averages. The company’s operating profits have deteriorated significantly, with a compound annual growth rate (CAGR) of -135.58% over the past five years. This steep decline in profitability has contributed to the stock’s subdued valuation and downward price pressure.
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Financial Health and Profitability Metrics
The company’s financial indicators reveal considerable strain. The average EBIT to interest ratio stands at a low 0.14, signalling limited capacity to comfortably service debt obligations. Return on equity (ROE) has averaged just 1.90%, reflecting minimal profitability generated from shareholders’ funds.
Recent results for the six months ending September 2025 show a subdued profit after tax (PAT) of Rs.1.28 crore, representing a decline of 77.78% compared to the previous period. Additionally, non-operating income accounted for 263.49% of profit before tax (PBT), indicating a reliance on income sources outside core operations to support profitability.
Risk Profile and Market Sentiment
National Peroxide Ltd’s Mojo Score currently stands at 12.0, with a Mojo Grade of Strong Sell, an upgrade from the previous Sell rating issued on 7 May 2025. The market capitalisation grade is rated 4, reflecting a relatively modest size within its sector. The stock’s risk profile is elevated due to its negative operating profits and significant profit declines of 113% over the past year.
Performance comparisons against the BSE500 index further illustrate the stock’s challenges. It has underperformed the broader market index over the last three months, one year, and three years, reinforcing the subdued investor confidence and market positioning.
Shareholding Structure
The majority ownership of National Peroxide Ltd remains with promoters, indicating concentrated control. This ownership structure may influence strategic decisions and capital allocation, though it has not translated into improved market performance or financial metrics in recent years.
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Summary of Performance Trends
National Peroxide Ltd’s share price trajectory and financial results over recent years depict a company facing persistent headwinds. The stock’s fall to an all-time low of Rs.462.05 is emblematic of these difficulties, with returns consistently lagging market benchmarks. The combination of weak profitability, low returns on equity, and a challenging debt servicing ratio contribute to the cautious market stance reflected in the Strong Sell Mojo Grade.
While the stock showed a slight positive movement on the day of the new low, the broader trend remains downward, with the share price trading below all major moving averages. This technical positioning aligns with the fundamental data indicating subdued growth and profitability.
Conclusion
The all-time low reached by National Peroxide Ltd’s shares on 30 December 2025 underscores the severity of the company’s current market and financial situation. The stock’s extended underperformance relative to the Sensex and BSE500, combined with deteriorating profit metrics and a cautious rating outlook, reflect a challenging environment for the commodity chemicals firm. Investors and market participants will continue to monitor the company’s financial disclosures and market movements closely as the situation evolves.
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