Recent Price Movement and Market Context
On 25 Nov 2025, Prime Industries' share price touched Rs.32.01, the lowest level recorded in the past year. This decline comes after three consecutive days of losses, during which the stock has delivered a cumulative return of -14.77%. The stock underperformed its sector by 0.82% on the day, reflecting persistent downward pressure.
Notably, Prime Industries is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This technical positioning indicates a sustained weakness in price momentum over multiple time horizons.
In contrast, the broader market has shown resilience. The Sensex opened 108.22 points higher and was trading at 85,037.08, up 0.16% on the day. The index remains close to its 52-week high of 85,801.70, just 0.9% away, supported by bullish moving averages where the 50-day moving average is above the 200-day moving average. Mid-cap stocks led gains with the BSE Mid Cap index rising by 0.22%.
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Long-Term Performance and Valuation Metrics
Over the past year, Prime Industries has recorded a return of -72.83%, a stark contrast to the Sensex's positive return of 6.16% during the same period. This significant underperformance highlights the challenges faced by the company relative to the broader market.
The stock's 52-week high was Rs.189.45, underscoring the extent of the decline to the current low. Despite this, the company’s profits have shown a rise of 108% over the last year, indicating some improvement in earnings. The price-to-earnings-to-growth (PEG) ratio stands at 0.4, suggesting valuation metrics that may not fully reflect the recent price movement.
However, the company’s cash and cash equivalents for the half-year period are notably low at Rs.0.01 crore, which may raise concerns about liquidity. Additionally, the company has reported negative earnings before interest, taxes, depreciation, and amortisation (EBITDA), indicating pressure on core profitability.
Shareholding and Market Risk Factors
Prime Industries’ majority shareholders are non-institutional, which can sometimes contribute to higher volatility in stock price movements. The stock is considered risky when compared to its average historical valuations, reflecting the market’s cautious stance.
While the BSE500 index has generated returns of 4.76% over the past year, Prime Industries has not kept pace, delivering negative returns. This divergence points to sector-specific or company-specific factors influencing investor sentiment and price action.
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Sector and Industry Overview
Prime Industries operates within the edible oil sector, a segment that has experienced varied performance across companies. Despite the sector’s overall resilience, Prime Industries’ stock has not mirrored this trend, reflecting company-specific pressures.
The sector’s performance contrasts with the stock’s trajectory, as the broader edible oil industry has seen more stable valuations and returns. This divergence may be linked to the company’s financial metrics and market positioning.
Summary of Key Financial Indicators
To summarise, Prime Industries’ stock price at Rs.32.01 represents a 52-week low, following a period of sustained decline. The company’s financial indicators show a mixed picture with rising profits but constrained liquidity and negative EBITDA. The stock’s valuation and shareholding structure contribute to its current market risk profile.
Meanwhile, the broader market and sector indices continue to show positive momentum, highlighting the stock’s relative underperformance.
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