Reliable Data Services Ltd Hits Upper Circuit Amid Robust Buying Pressure

Strong Market Performance and Price Action

On 28 Jan 2026, Reliable Data Services Ltd (stock code 1002859) demonstrated remarkable strength by hitting the upper circuit limit of ₹156.64, up ₹7.45 from its previous close. This 4.99% increase represents the maximum permissible daily price band of 5%, signalling intense buying interest. The stock opened with a gap-up of 3.22%, setting a positive tone for the trading session.

The intraday price range was between ₹149.25 and ₹156.64, with a total traded volume of approximately 0.77 lakh shares. The turnover for the day stood at ₹1.17 crore, indicating healthy liquidity for a micro-cap stock with a market capitalisation of ₹159 crore. Notably, the weighted average price was closer to the day’s low, suggesting that while the stock closed at the upper circuit, significant volume was traded at lower price points earlier in the session.

Outperformance Relative to Sector and Benchmark

Reliable Data Services Ltd outperformed its NBFC sector peers, which recorded a modest 0.68% gain on the same day. The broader Sensex index rose by only 0.38%, underscoring the stock’s relative strength. Over the past two trading days, the stock has delivered an impressive cumulative return of 8.41%, reflecting sustained investor confidence and momentum.

Technical indicators further support this bullish trend. The stock is trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, signalling a strong uptrend across multiple timeframes. This technical positioning often attracts momentum traders and institutional investors seeking growth opportunities in the NBFC space.

Rising Investor Participation and Delivery Volumes

One of the most striking features of the recent trading activity is the surge in delivery volumes. On 27 Jan 2026, the delivery volume reached 3,020 shares, a staggering increase of 978.52% compared to the 5-day average delivery volume. This indicates that a significant portion of the traded shares is being held by investors rather than short-term traders, suggesting strong conviction in the stock’s prospects.

Liquidity metrics also affirm the stock’s tradability. With turnover representing about 2% of the 5-day average traded value, Reliable Data Services Ltd is sufficiently liquid to accommodate trade sizes of ₹0.01 crore without significant price impact. This is a positive sign for investors looking to enter or exit positions efficiently.

Regulatory Freeze and Unfilled Demand

The upper circuit hit triggered an automatic regulatory freeze on the stock’s trading for the remainder of the day, a mechanism designed to curb excessive volatility and protect investors. This freeze indicates that the demand for Reliable Data Services Ltd shares exceeded supply significantly, leaving many buy orders unfilled at the upper price limit.

Such unfilled demand often leads to a strong opening in the subsequent trading session, as buyers remain eager to accumulate shares. However, investors should remain cautious and monitor whether the stock can sustain this momentum amid broader market conditions and sectoral trends.

Fundamental Assessment and Mojo Score

From a fundamental perspective, Reliable Data Services Ltd holds a Mojo Score of 67.0, categorised as a ‘Hold’ grade as of 20 Jan 2026, a downgrade from its previous ‘Buy’ rating. This reflects a tempered outlook based on a comprehensive evaluation of financial metrics, quality grades, and trend assessments. The company’s market cap grade is 4, indicating its micro-cap status within the NBFC sector.

While the recent price action is encouraging, the downgrade suggests that investors should weigh the stock’s valuation and growth prospects carefully. The NBFC sector is currently navigating a complex environment with regulatory scrutiny and credit quality concerns, which may impact future performance.

Outlook and Investor Considerations

Reliable Data Services Ltd’s recent surge and upper circuit hit highlight strong market interest and positive sentiment. The stock’s technical strength, rising delivery volumes, and relative outperformance position it as a noteworthy contender in the micro-cap NBFC space. However, the regulatory freeze and unfilled demand underscore the need for cautious optimism.

Investors should consider the company’s fundamental downgrade and sectoral risks before making fresh commitments. Monitoring upcoming quarterly results, credit portfolio quality, and broader economic indicators will be crucial to assess the sustainability of this rally.

Conclusion

Reliable Data Services Ltd’s upper circuit hit on 28 Jan 2026 is a clear indicator of strong buying pressure and investor enthusiasm in the micro-cap NBFC segment. The stock’s outperformance relative to sector and benchmark indices, combined with rising delivery volumes and technical strength, paints a positive near-term picture.

Nonetheless, the recent downgrade in Mojo Grade to ‘Hold’ and the regulatory freeze triggered by the upper circuit call for a balanced approach. Investors should remain vigilant, analysing upcoming financial disclosures and sector developments to gauge the stock’s ability to maintain its upward trajectory.

For those seeking exposure to the NBFC sector, Reliable Data Services Ltd offers an intriguing opportunity, but diversification and risk management remain paramount given the micro-cap nature and evolving market dynamics.

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