Key Events This Week
Jan 27: Stock opens week with a 0.68% gain amid positive market sentiment
Jan 28: REC Ltd hits intraday high of Rs 374.65, surging 3.22%
Jan 29: Quarterly results reveal profit growth slowdown and margin pressures
Jan 30: Stock hits intraday low amid price pressure, closes down 2.89%
27 January: Positive Start Amid Broad Market Gains
REC Ltd began the week on a positive note, closing at Rs.363.60, up Rs.2.45 or 0.68% from the previous Friday’s close of Rs.361.15. This gain slightly outpaced the Sensex’s 0.50% rise to 35,786.84 points. The stock’s volume of 212,619 shares indicated steady investor interest as the broader market sentiment remained optimistic. This initial uptick set the tone for the stock’s midweek rally.
28 January: Intraday High and Strong Outperformance
On 28 January, REC Ltd demonstrated robust momentum, surging 3.82% to close at Rs.377.50. The stock reached an intraday peak of Rs.374.65, marking a 3.04% increase from its opening price. This 3.22% daily gain significantly outperformed the Sensex’s 1.12% rise to 36,188.16, highlighting REC Ltd’s relative strength within the finance sector. The stock’s two-day cumulative return reached 4.52%, reflecting sustained buying interest. Technical indicators showed the price trading above its 5-day, 20-day, 50-day, and 100-day moving averages, signalling short to medium-term strength, although it remained below the 200-day average.
Fundamentals that don't lie! This Small Cap from Trading shows consistent growth and price strength over time. A reliable pick you can truly count on.
- - Strong fundamental track record
- - Consistent growth trajectory
- - Reliable price strength
29 January: Quarterly Results Signal Profit Growth Slowdown
REC Ltd’s quarterly financial results released on 29 January revealed a slowdown in profit growth amid mounting margin pressures. The company reported a Profit Before Tax excluding Other Income of ₹5,095.53 crore and a Net Profit After Tax decline of 6.1% to ₹4,052.44 crore. Earnings Per Share fell to ₹15.39, the lowest in recent quarters. These results led to a downgrade in the company’s financial trend score from +6 to -3 over the past three months, reflecting a flat financial performance. Despite these challenges, REC Ltd maintained a conservative half-year debt-to-equity ratio of 6.18 times, one of the lowest in its peer group.
On the trading front, the stock closed at Rs.375.20, down 0.61% from the previous day’s close, with a volume spike to 839,529 shares. The price remained above the 5-day and 50-day moving averages but below the 20-day, 100-day, and 200-day averages, indicating mixed technical signals. The Sensex closed higher by 0.22%, underscoring REC Ltd’s relative underperformance on the day.
30 January: Price Pressure Amid Market Weakness
REC Ltd faced significant price pressure on 30 January, closing at Rs.364.35, down Rs.10.85 or 2.89%. The stock touched an intraday low of Rs.363.55, marking a 3.05% decline from the previous close. This underperformance was in line with broader market weakness, as the Sensex fell 0.22% to 36,185.03, trading below its 50-day moving average. REC Ltd’s shares traded above the 5-day and 50-day averages but remained below longer-term moving averages, signalling resistance and subdued momentum.
The stock’s volume of 659,715 shares reflected active trading amid cautious sentiment. The downgrade to a Mojo Score of 44.0 and a ‘Sell’ grade as of 1 January 2026 further weighed on investor confidence. Despite the short-term weakness, REC Ltd continues to offer a dividend yield of approximately 5.25%, which remains attractive for income-focused investors.
Considering REC Ltd? Wait! SwitchER has found potentially better options in and beyond. Compare this large-cap with top-rated alternatives now!
- - Better options discovered
- - + beyond scope
- - Top-rated alternatives ready
Weekly Price Performance: REC Ltd vs Sensex
| Date | Stock Price | Day Change | Sensex | Day Change |
|---|---|---|---|---|
| 2026-01-27 | Rs.363.60 | +0.68% | 35,786.84 | +0.50% |
| 2026-01-28 | Rs.377.50 | +3.82% | 36,188.16 | +1.12% |
| 2026-01-29 | Rs.375.20 | -0.61% | 36,266.59 | +0.22% |
| 2026-01-30 | Rs.364.35 | -2.89% | 36,185.03 | -0.22% |
Key Takeaways
Positive Signals: REC Ltd demonstrated resilience by closing the week with a 0.89% gain, slightly outperforming the Sensex. The intraday high of Rs.374.65 on 28 January reflected strong buying interest and technical strength above key short- and medium-term moving averages. The company’s attractive dividend yield of around 5.25% remains a compelling feature for income investors. Additionally, REC Ltd’s conservative debt-to-equity ratio of 6.18 times provides financial stability amid market uncertainties.
Cautionary Signals: The quarterly results revealed a slowdown in profit growth and margin pressures, leading to a downgrade in the financial trend score and a ‘Sell’ Mojo Grade. The stock’s inability to sustain gains above longer-term moving averages, coupled with a 2.89% decline on 30 January amid broader market weakness, signals near-term challenges. The company’s modest market capitalisation grade of 1 may also contribute to higher volatility and liquidity concerns.
Overall, REC Ltd’s week was characterised by mixed momentum, with strong midweek gains offset by profit-taking and cautious sentiment following earnings. The stock’s performance relative to the Sensex and sector peers highlights both its potential and the risks investors face in the current environment.
Upgrade at special rates, valid only for the next few days. Claim Your Special Rate →
