Raw Edge Industrial Solutions Falls to 52-Week Low of Rs.20.03 Amidst Prolonged Downtrend

Stock Price Movement and Market Context

On 17 Dec 2025, Raw Edge Industrial Solutions recorded its lowest price in the past year at Rs.20.03, a level not seen before in its trading history. This new low comes after the stock experienced a two-day consecutive decline, resulting in a cumulative return of -4.94% over this period. The day’s trading saw the stock underperform its sector by -3.52%, signalling relative weakness compared to its peers in the Minerals & Mining industry.

Technical indicators further highlight the stock’s subdued momentum, as it currently trades below all major moving averages — including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This positioning suggests sustained downward pressure and a lack of short- to medium-term upward momentum.

In contrast, the broader market, represented by the Sensex, opened positively with a gain of 176.40 points but later retreated by -296.61 points to close at 84,559.65, down -0.14%. The Sensex remains near its 52-week high, just 1.89% shy of the peak level of 86,159.02, and continues to trade above its 50-day moving average, which itself is positioned above the 200-day average — a configuration typically associated with a bullish market trend.

Financial Performance and Profitability Metrics

Raw Edge Industrial Solutions’ financial results reveal a challenging environment for the company. The quarterly net sales figure stood at Rs.8.40 crore, reflecting a decline of -21.3% compared to the average of the previous four quarters. This contraction in sales volume or value has contributed to a subdued earnings profile.

Profit after tax (PAT) for the nine-month period registered a negative Rs.1.42 crore, representing a fall of -24.68%. The company’s profit before depreciation, interest, and taxes (PBDIT) for the quarter was Rs.0.56 crore, marking the lowest level recorded in recent periods. These figures indicate ongoing pressure on the company’s earnings capacity and operational cash flow generation.

Long-Term Growth and Debt Servicing Capacity

Over the last five years, the company’s operating profits have shown a compound annual growth rate (CAGR) of -26.94%, indicating a contraction in core profitability over the medium term. This trend has contributed to a subdued fundamental strength assessment.

Debt servicing ability remains a concern, with a Debt to EBITDA ratio of 6.63 times. This level suggests that the company’s earnings before interest, taxes, depreciation, and amortisation are relatively low compared to its debt obligations, potentially constraining financial flexibility.

Return on equity (ROE) averaged at 0.03%, signalling minimal profitability generated per unit of shareholders’ funds. Such a low ROE reflects limited value creation for equity investors over the period analysed.

Comparative Performance and Valuation

Raw Edge Industrial Solutions has consistently underperformed the benchmark indices. Over the past year, the stock’s return was -49.50%, while the Sensex recorded a positive 4.80% return. Furthermore, the stock has lagged behind the BSE500 index in each of the last three annual periods, underscoring persistent relative weakness.

Despite these challenges, the company’s return on capital employed (ROCE) stands at 3.2%, and it exhibits an enterprise value to capital employed ratio of 1. These metrics suggest that the stock is trading at a valuation discount relative to its peers’ historical averages, which may be reflective of market perceptions of risk and growth prospects.

Shareholding and Market Capitalisation

The majority shareholding in Raw Edge Industrial Solutions is held by promoters, indicating concentrated ownership. The company’s market capitalisation grade is relatively low, reflecting its diminished market value in comparison to larger peers within the Minerals & Mining sector.

The stock’s 52-week high was Rs.46.80, which contrasts sharply with the current 52-week low of Rs.20.03, illustrating the extent of the price decline over the past year.

Summary of Key Metrics

To summarise, Raw Edge Industrial Solutions is currently trading at its lowest price point in over a year, with a 52-week low of Rs.20.03. The stock has experienced a near 50% reduction in value over the last 12 months, alongside declining sales and profitability figures. Its financial ratios highlight challenges in growth and debt management, while valuation metrics suggest the stock is priced below peer averages. The broader market environment remains relatively stable, with the Sensex maintaining levels close to its 52-week high.

Only for Rs. 14,999 - Get Access to 2 Years + 6 Months of All Premium Features on MarketsMojo. As low as ₹500/month! Claim 83% OFF →