Stock Price Movement and Market Context
On 17 Feb 2026, NIIT Ltd opened with a gap down of 4.05%, hitting an intraday low of Rs.71.5, the lowest level recorded in the past year. The stock managed to rebound somewhat during the session, touching a high of Rs.77.35, representing a 3.8% gain from the low, and outperformed its sector by 0.33%. However, the closing price remained close to the day’s low, underscoring persistent selling pressure.
Technically, the stock is trading above its 20-day moving average but remains below its 5-day, 50-day, 100-day, and 200-day moving averages, indicating a mixed short-term momentum but a generally weak medium- to long-term trend. The broader IT - Education sector, in contrast, gained 3.95% on the same day, highlighting the relative underperformance of NIIT Ltd within its industry segment.
Meanwhile, the Sensex index showed resilience, rising 0.2% to close at 83,445.12 points, just 3.25% shy of its 52-week high of 86,159.02. Mega-cap stocks led the market rally, while the Sensex itself traded below its 50-day moving average, which remains above the 200-day moving average, signalling a cautiously optimistic market environment.
Financial Performance and Valuation Concerns
NIIT Ltd’s stock performance over the past year has been notably weak, with a decline of 37.63%, starkly contrasting with the Sensex’s positive return of 9.80% during the same period. The stock’s 52-week high was Rs.150.55, underscoring the extent of the recent decline.
The company’s financial metrics reveal underlying challenges. Over the last five years, net sales have contracted at an annualised rate of 15.70%, while operating profit has deteriorated sharply by 198.77%. The firm has reported negative results for four consecutive quarters, with the latest quarter showing a profit before tax (PBT) of Rs.-8.68 crores, a steep fall of 1769.23%. Net profit after tax (PAT) also declined by 41.7% to Rs.7.85 crores in the most recent quarter.
Cash and cash equivalents stood at Rs.48.49 crores at the half-year mark, representing the lowest level recorded recently. The company’s EBITDA remains negative, contributing to the perception of elevated risk associated with the stock. Valuation metrics indicate that NIIT Ltd is trading at levels considered risky relative to its historical averages.
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Long-Term and Recent Performance Trends
NIIT Ltd’s long-term performance has been below par, with the stock underperforming the BSE500 index over the last three years, one year, and three months. The company’s profits have declined by 35.2% over the past year, compounding the negative return of 37.63% generated by the stock in the same period.
The company’s low average debt-to-equity ratio, effectively zero, suggests a conservative capital structure, which may provide some financial stability. Institutional investors hold a significant stake of 22.43%, indicating confidence from entities with substantial analytical resources, despite the stock’s recent struggles.
Sector and Market Dynamics
While NIIT Ltd operates within the Other Consumer Services sector, specifically IT - Education, the sector has shown positive momentum recently. The stock’s relative underperformance against a sector gain of 3.95% on the day highlights the challenges faced by the company in capitalising on broader industry trends.
The Sensex’s modest rise and proximity to its 52-week high reflect a generally positive market environment, contrasting with the downward pressure on NIIT Ltd’s shares. This divergence emphasises the stock’s unique challenges amid a more favourable macroeconomic backdrop.
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Mojo Score and Ratings
NIIT Ltd currently holds a Mojo Score of 17.0, categorised as a Strong Sell. This rating was upgraded from Sell on 16 Jun 2025, reflecting a further deterioration in the company’s outlook. The market capitalisation grade stands at 4, indicating a relatively modest size within its sector.
The stock’s day change of 4.33% today reflects some volatility but remains within the context of a broader downtrend. The combination of weak financial results, negative EBITDA, and declining profitability has contributed to the cautious stance reflected in the Mojo grading system.
Summary of Key Metrics
To summarise, NIIT Ltd’s stock has reached a 52-week low of Rs.71.5, reflecting a year-long decline of 37.63%. The company’s net sales and operating profit have contracted significantly over five years, with recent quarters showing negative earnings before tax and falling net profits. Cash reserves are at a low point, and the stock trades below most key moving averages, signalling ongoing pressure. Institutional holdings remain relatively high at 22.43%, and the company maintains a low debt profile.
These factors collectively illustrate the challenges faced by NIIT Ltd in the current market environment, with the stock’s recent price action underscoring investor caution amid subdued financial performance.
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