Stock Price Movement and Market Context
On 3 Feb 2026, Natural Capsules Ltd’s share price reached an intraday low of Rs.152, representing a drop of 5.21% during the trading session. The stock opened sharply lower with a gap down of 5.14%, continuing a two-day losing streak that has resulted in a cumulative decline of 7.78%. This underperformance is notable against the Pharmaceuticals & Drugs sector, which gained 2.67% on the same day, highlighting a divergence from sectoral trends.
The stock’s day change was recorded at -3.15%, underperforming the sector by 5.52%. Furthermore, Natural Capsules 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. This technical positioning reflects persistent selling pressure and a lack of short-term support levels.
Comparative Performance and Benchmarking
Over the past year, Natural Capsules Ltd has delivered a return of -43.42%, significantly lagging behind the Sensex, which posted a positive return of 8.74% during the same period. The stock’s 52-week high was Rs.298.05, indicating a steep decline of nearly 49% from its peak. This performance gap underscores the stock’s relative weakness within the broader market context.
Additionally, the stock has consistently underperformed the BSE500 index over the last three annual periods, reflecting a prolonged trend of subpar returns relative to a broad market benchmark. This persistent underperformance has contributed to the stock’s current valuation challenges and investor 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
Financial Metrics and Profitability Concerns
Natural Capsules Ltd’s financial indicators reveal ongoing pressures. The company reported a quarterly PAT (Profit After Tax) loss of Rs. -6.99 crores, representing a decline of 402.9% compared to the previous four-quarter average. This sharp fall in profitability is a key factor weighing on the stock price.
Interest expenses have increased substantially, with the latest six-month figure at Rs.5.21 crores, growing by 63.84%. This rise in interest costs adds to the financial strain, impacting net earnings and cash flow.
The company’s Return on Capital Employed (ROCE) for the half-year period stands at a negative -1.11%, indicating that the capital invested is not generating positive returns. Similarly, the average Return on Equity (ROE) is 8.15%, a modest figure that points to limited profitability relative to shareholders’ funds.
Valuation and Risk Profile
Natural Capsules Ltd is currently graded as a Strong Sell with a Mojo Score of 3.0, reflecting weak long-term fundamentals and elevated risk. This rating was upgraded from Sell on 13 Nov 2025, signalling a deterioration in the company’s outlook. The Market Cap Grade is 4, indicating a mid-tier market capitalisation relative to peers.
The stock’s valuation appears stretched when compared to its historical averages, with profits having fallen by 650.2% over the past year. This decline in earnings, combined with the stock’s price drop, suggests that the market is pricing in significant challenges ahead.
Sector and Market Environment
While Natural Capsules Ltd has struggled, the broader Pharmaceuticals & Biotechnology sector has shown resilience, gaining 2.67% on the day. The Sensex itself experienced volatility, opening 3,656.74 points higher before retreating by 1,370.04 points to close at 83,953.16, still within 2.63% of its 52-week high of 86,159.02. Mega-cap stocks led the market gains, contrasting with the performance of mid and small-cap stocks such as Natural Capsules.
This divergence highlights the selective nature of market strength within the sector and the broader market, with larger companies benefiting from investor preference amid uncertain conditions.
Holding Natural Capsules Ltd from Pharmaceuticals & Biotechnology? See if there's a smarter choice! SwitchER compares it with peers and suggests superior options across market caps and sectors!
- - Peer comparison ready
- - Superior options identified
- - Cross market-cap analysis
Shareholding and Corporate Structure
The majority shareholding in Natural Capsules Ltd remains with the promoters, indicating concentrated ownership. This structure can influence strategic decisions and capital allocation, which are critical factors given the company’s current financial performance and market valuation.
Despite the challenges, the company continues to operate within the Pharmaceuticals & Biotechnology sector, which remains a key area of focus in the Indian market due to its growth potential and essential nature.
Summary of Key Data Points
To summarise, Natural Capsules Ltd’s stock has declined to Rs.152, its lowest level in 52 weeks, reflecting a 43.42% loss over the past year. The company’s financial results show a significant deterioration in profitability, with a PAT loss of Rs. -6.99 crores and rising interest expenses. The stock trades below all major moving averages and has underperformed both its sector and the broader market indices consistently over recent years.
These factors contribute to its current Strong Sell rating and Mojo Score of 3.0, underscoring the challenges faced by the company in maintaining shareholder value amid a competitive and evolving sector landscape.
Upgrade at special rates, valid only for the next few days. Claim Your Special Rate →
