Stock Performance and Market Context
On 26 Feb 2026, Reliance Home Finance Ltd’s share price declined by 1.36% to hit Rs.2.13, the lowest level in the past year. This marks a continuation of a seven-day losing streak, during which the stock has fallen by 19.33%. The decline contrasts sharply with the broader market, where the Sensex opened higher at 82,418.78 points, gaining 0.17% before trading slightly lower at 82,375.26 points, still up 0.12% on the day. The Sensex remains within 4.59% of its 52-week high of 86,159.02, supported by gains in mega-cap stocks.
Reliance Home Finance Ltd’s performance over the last year has been notably weak, with a total return of -32.61%, compared to the Sensex’s positive 10.44% return. The stock has consistently underperformed the BSE500 index across the last three annual periods, highlighting persistent challenges in maintaining investor confidence and market momentum.
The stock is currently trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling a bearish trend. This technical weakness further emphasises the downward pressure on the share price.
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Fundamental Analysis and Financial Metrics
Reliance Home Finance Ltd operates within the Housing Finance Company sector, where it faces significant headwinds. The company’s Mojo Score stands at 17.0, with a Mojo Grade of Strong Sell as of 23 Oct 2025, downgraded from Sell. This reflects deteriorating fundamentals and heightened risk perceptions among market participants.
One of the key concerns is the absence of declared financial results for the past six months, which has contributed to uncertainty regarding the company’s current financial position. Despite this, the company reported positive results for the last three consecutive quarters prior to this period, with a 9-month PAT of Rs.3.03 crores, indicating some profitability in recent operations.
However, the long-term growth trajectory remains weak. Net sales have declined at an annual rate of -83.08%, while operating profit has contracted sharply by -207.23%. These figures underscore the challenges in sustaining revenue and profitability, which have weighed heavily on investor sentiment.
The company’s market capitalisation grade is rated 4, indicating a relatively small market cap compared to peers, which may contribute to liquidity constraints and higher volatility. The stock’s valuation is considered risky relative to its historical averages, further complicating its market outlook.
Comparative Performance and Sector Dynamics
Reliance Home Finance Ltd’s underperformance is evident when compared to its sector peers and broader market indices. While the Sensex has maintained a positive trajectory, supported by mega-cap stocks, Reliance Home Finance has struggled to keep pace, reflecting sector-specific and company-specific challenges.
The housing finance sector has experienced mixed performance, with some companies benefiting from improving credit demand and interest rate stability. In contrast, Reliance Home Finance’s declining sales and profitability metrics suggest difficulties in capitalising on these sector tailwinds.
Investors have noted the stock’s consistent underperformance against the BSE500 index over the last three years, highlighting a pattern of relative weakness. This trend has been accompanied by a significant drop from its 52-week high of Rs.7.84 to the current low of Rs.2.13, representing a decline of approximately 72.8%.
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Technical Indicators and Market Sentiment
From a technical perspective, Reliance Home Finance Ltd’s share price remains below all major moving averages, including the short-term 5-day and 20-day averages, as well as the longer-term 50-day, 100-day, and 200-day averages. This alignment of moving averages below the current price level is typically interpreted as a bearish signal, indicating sustained selling pressure.
The stock’s underperformance relative to its sector by 1.6% on the day further highlights the challenges it faces in regaining momentum. The consecutive seven-day decline and the steep 19.33% drop over this period reflect a cautious market stance towards the stock.
Despite the broader market’s modest gains, led by mega-cap stocks within the Sensex, Reliance Home Finance Ltd’s share price trajectory remains subdued. This divergence underscores the company-specific factors influencing investor behaviour and market valuation.
Summary of Key Metrics
To summarise, Reliance Home Finance Ltd’s key metrics as of 26 Feb 2026 are:
- New 52-week low price: Rs.2.13
- One-year return: -32.61%
- Mojo Score: 17.0 (Strong Sell)
- Mojo Grade change: Downgraded from Sell to Strong Sell on 23 Oct 2025
- Net sales annual growth rate: -83.08%
- Operating profit annual growth rate: -207.23%
- 9-month PAT: Rs.3.03 crores
- Consecutive days of price decline: 7
- Price decline over 7 days: -19.33%
- Trading below all major moving averages
These figures collectively illustrate the pressures weighing on the stock and the challenges faced by the company in the current market environment.
Market Environment and Broader Implications
The broader market environment remains relatively stable, with the Sensex maintaining a positive trend and trading close to its 52-week high. The index’s 50-day moving average remains above its 200-day moving average, signalling an overall bullish market trend. Mega-cap stocks continue to lead gains, contrasting with the performance of smaller and mid-cap stocks such as Reliance Home Finance Ltd.
This divergence highlights the selective nature of market advances and the importance of company-specific fundamentals in driving stock performance. Reliance Home Finance Ltd’s current valuation and price action reflect a cautious stance by market participants, influenced by the company’s financial disclosures and growth metrics.
While the company has reported positive profitability in recent quarters, the absence of recent results and the steep declines in sales and operating profit growth rates have contributed to a challenging valuation environment.
Investors and analysts will continue to monitor the company’s disclosures and financial performance closely as they assess the stock’s position within the housing finance sector and the broader market.
Conclusion
Reliance Home Finance Ltd’s fall to a 52-week low of Rs.2.13 marks a significant milestone in its recent share price trajectory. The stock’s sustained decline over the past week, combined with weak long-term growth metrics and a downgrade to a Strong Sell Mojo Grade, underscores the challenges faced by the company. Despite some positive profitability in recent quarters, the lack of recent financial disclosures and ongoing declines in sales and operating profit have weighed heavily on market sentiment.
The stock’s technical indicators remain bearish, trading below all major moving averages and underperforming its sector and benchmark indices. This performance contrasts with the broader market’s modest gains, led by mega-cap stocks within the Sensex.
Overall, Reliance Home Finance Ltd’s current market position reflects a complex interplay of financial performance, valuation concerns, and sector dynamics, resulting in its recent 52-week low price.
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