Poly Medicure Ltd Stock Falls to 52-Week Low of Rs.1257.6

Stock Price Movement and Market Context

On 20 Feb 2026, Poly Medicure Ltd’s share price fell by 1.19%, underperforming its sector by 0.47%. This marks the third consecutive day of decline, with the stock losing 4.75% over this period. The current price of Rs.1257.6 is substantially lower than its 52-week high of Rs.2936.7, representing a drop of over 57%. The stock is trading below all key moving averages – 5-day, 20-day, 50-day, 100-day, and 200-day – signalling a persistent bearish trend.

In contrast, the broader market has shown resilience. The Sensex, after a negative start, recovered sharply to close at 82,898.64, up 0.49% on the day and just 3.93% shy of its 52-week high of 86,159.02. Mega-cap stocks have led this rally, highlighting a divergence between large-cap market leaders and mid-sized companies like Poly Medicure.

Financial Performance and Valuation Metrics

Poly Medicure’s financial indicators reveal a mixed picture. The company reported a quarterly profit after tax (PAT) of Rs.75.86 crores in December 2025, reflecting an 11.0% decline compared to the previous period. Operating profit to net sales ratio for the quarter stands at a low 22.52%, indicating margin pressures. Additionally, the debtors turnover ratio for the half-year is at 4.02 times, the lowest in recent periods, suggesting slower collections.

Despite these challenges, the company’s return on equity (ROE) remains at a moderate 12.4%. However, the valuation appears stretched with a price-to-book value of 4.4, which is relatively high given the current earnings trajectory. The PEG ratio of 3.1 further indicates that the stock’s price growth is not fully supported by earnings growth, which has risen by 11.9% over the past year.

Long-Term and Relative Performance

Over the last year, Poly Medicure has delivered a negative return of 42.91%, significantly underperforming the Sensex, which gained 9.44% in the same period. The stock has also lagged behind the BSE500 index over the last three years, one year, and three months, indicating sustained underperformance relative to broader market benchmarks.

The company’s operating profit has grown at an annualised rate of 17.77% over the past five years, which, while positive, has not translated into commensurate stock price appreciation. This disparity is reflected in the downgrade of the company’s Mojo Grade from Strong Sell to Sell as of 11 Feb 2026, with a current Mojo Score of 30.0, signalling cautious sentiment among market analysts.

Sector Position and Institutional Holdings

Poly Medicure holds a significant position within the healthcare services sector, with a market capitalisation of Rs.12,910 crores, making it the second largest company in the sector behind Lenskart Solutions. It accounts for 12.13% of the sector’s market cap and contributes 16.54% of the industry’s annual sales, which total Rs.1,781.58 crores.

The company maintains a low average debt-to-equity ratio of zero, indicating a conservative capital structure with minimal leverage. Institutional investors hold 23.24% of the company’s shares, reflecting a notable level of confidence from entities with substantial analytical resources.

Summary of Key Concerns

The recent decline to Rs.1257.6 highlights several ongoing concerns for Poly Medicure. The stock’s consistent underperformance relative to the Sensex and sector peers, combined with subdued profitability ratios and a high valuation multiple, have contributed to the current market sentiment. The company’s slower debtor turnover and reduced operating profit margins further underscore challenges in maintaining operational efficiency.

While the company’s low leverage and sizeable institutional ownership provide some stability, the overall trend reflects a cautious outlook. The downgrade in Mojo Grade to Sell and the modest Mojo Score of 30.0 reinforce the tempered expectations for the stock’s near-term performance.

Market Environment and Sector Dynamics

The healthcare services sector continues to be competitive, with Poly Medicure facing pressure from both established players and emerging companies. Despite the broader market’s positive momentum, led by mega-cap stocks, mid-sized companies like Poly Medicure have struggled to keep pace. The Sensex’s recovery and proximity to its 52-week high contrast with the stock’s downward trajectory, highlighting sector-specific and company-specific factors influencing investor sentiment.

Conclusion

Poly Medicure Ltd’s fall to a 52-week low of Rs.1257.6 reflects a combination of valuation concerns, earnings pressures, and relative underperformance within the healthcare services sector. The stock’s current position below all major moving averages and its recent consecutive declines signal ongoing challenges. While the company retains a strong market position and low debt, the financial metrics and market response suggest a cautious stance among investors and analysts alike.

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