National Peroxide Stock Falls to 52-Week Low of Rs.500

Recent Price Movement and Market Context

On 5 December 2025, National Peroxide's share price touched Rs.500, its lowest level in the past year and an all-time low for the company. This marks a continuation of a downward trend, with the stock recording a cumulative fall of 3.73% over the last three trading days. The decline contrasts with the broader market, where the Sensex recovered sharply after an initial negative opening, closing 0.36% higher at 85,572.74 points. The Sensex is currently trading just 0.69% below its 52-week high of 86,159.02, supported by strong performances from mega-cap stocks.

National Peroxide's performance today lagged behind its sector peers, underperforming the commodity chemicals sector by 0.47%. The stock is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained downward momentum.

Long-Term Performance and Valuation Trends

Over the past year, National Peroxide's stock has declined by 41.85%, a stark contrast to the Sensex's 4.69% gain during the same period. The stock's 52-week high was Rs.907.30, indicating a substantial reduction in market value. This underperformance extends beyond the last year, with the company lagging behind the BSE500 index over the last three years, one year, and three months.

Financial Metrics Highlighting Challenges

National Peroxide's financial indicators reveal pressures on profitability and operational efficiency. The company has experienced a compound annual growth rate (CAGR) of -135.58% in operating profits over the last five years, indicating a persistent contraction in core earnings. The average EBIT to interest coverage ratio stands at a low 0.14, reflecting limited capacity to comfortably service debt obligations.

Return on equity (ROE) has averaged 1.90%, suggesting modest returns generated on shareholders' funds. The latest six-month period ending September 2025 showed a profit after tax (PAT) of Rs.1.28 crore, which represents a decline of 77.78% compared to the previous corresponding period. Additionally, non-operating income for the quarter accounted for 263.49% of profit before tax (PBT), indicating reliance on income sources outside core operations.

Risk Considerations and Valuation

The stock's valuation appears stretched relative to its historical averages, with returns over the past year at -41.85% and profits contracting by 113%. This combination points to a risk profile that investors may find challenging amid the current market environment. The company's majority shareholding remains with promoters, maintaining concentrated ownership.

Sector and Market Environment

National Peroxide operates within the commodity chemicals industry, a sector that has seen mixed performance amid fluctuating raw material costs and demand cycles. While the broader market indices have shown resilience, particularly with mega-cap stocks leading gains, smaller companies like National Peroxide have faced headwinds. The divergence between the stock’s performance and the Sensex’s upward trajectory highlights sector-specific and company-specific factors influencing investor sentiment.

Summary of Key Price and Performance Data

To summarise, National Peroxide’s stock price has declined to Rs.500, marking a 52-week and all-time low. The stock has underperformed its sector and the broader market over multiple time frames. Financial metrics indicate subdued profitability, weak debt servicing ability, and a reliance on non-operating income components. The stock trades below all major moving averages, reflecting sustained downward pressure.

While the Sensex is trading near its 52-week high and supported by bullish moving averages, National Peroxide’s share price trajectory remains subdued. The company’s long-term and recent financial data suggest ongoing challenges within its operational and financial framework.

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