Stock Performance and Market Context
On 17 Feb 2026, Reliance Infrastructure Ltd (Stock ID: 400868) opened with a gap down of -3.88% and touched an intraday low of Rs.94.15, representing a decline of -4.99% for the day. This marks the lowest price level for the stock in the past 52 weeks, a stark contrast to its 52-week high of Rs.425. The stock has been on a losing streak for five consecutive trading sessions, cumulatively falling -19.75% during this period.
In comparison, the Sensex index rose by 0.25% to close at 83,489.41 points, edging closer to its 52-week high of 86,159.02, which is just 3.2% away. While the broader market and mega-cap stocks showed resilience, Reliance Infrastructure’s performance remained subdued, underperforming its sector by -2.63% on the day.
Technically, the stock is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained bearish momentum.
Financial Metrics and Fundamental Assessment
Reliance Infrastructure’s financial health continues to reflect challenges. The company’s Return on Capital Employed (ROCE) stands at a modest 4.58%, indicating limited efficiency in generating returns from its capital base. This figure contributes to the stock’s current Mojo Grade of Strong Sell, which was downgraded from Sell on 5 Feb 2026. The Mojo Score remains low at 26.0, reinforcing the cautious stance.
Debt servicing capacity remains a concern, with a high Debt to EBITDA ratio of 7.32 times, suggesting elevated leverage and potential strain on cash flows. Despite this, the company’s valuation metrics show some contrasting signals. The ROCE on a trailing basis is 3.8, and the Enterprise Value to Capital Employed ratio is a low 0.3, indicating a valuation discount relative to peers.
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Recent Quarterly Results Highlight Pressure
The company’s December 2025 quarter results further illustrate the pressures faced. Profit Before Tax Less Other Income (PBT LESS OI) stood at Rs.221.02 crores, a sharp decline of -89.5% compared to the previous four-quarter average. Net Profit After Tax (PAT) was negative at Rs.-8.88 crores, falling by -100.9% relative to the same period. Net sales also contracted by -19.3% to Rs.4,296.52 crores.
These figures underscore a subdued revenue environment and shrinking profitability, which have weighed on investor sentiment and contributed to the stock’s recent losses.
Institutional Investor Activity
Institutional investors have reduced their holdings by -1.57% over the previous quarter, now collectively owning 6.79% of the company’s shares. This decline in institutional participation may reflect a reassessment of the company’s fundamentals by investors with greater analytical resources, further impacting the stock’s performance.
Long-Term Performance and Comparative Analysis
Over the past year, Reliance Infrastructure has generated a negative return of -58.31%, significantly underperforming the Sensex’s positive 9.82% return over the same period. The stock has also lagged behind the BSE500 index across one-year, three-year, and three-month timeframes, indicating persistent underperformance relative to broader market benchmarks.
Despite the challenging price performance, the company’s profits have shown a notable increase of 1010.2% over the past year, suggesting some improvement in earnings, albeit from a low base.
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Valuation and Sector Positioning
Within the power sector, Reliance Infrastructure’s valuation metrics suggest it is trading at a discount compared to its peers’ historical averages. The low Enterprise Value to Capital Employed ratio of 0.3 indicates that the market is pricing the stock conservatively relative to the capital invested in the business.
However, the company’s weak long-term fundamental strength, as reflected by its low ROCE and high leverage, continues to weigh on its market capitalisation grade, which remains at a modest 3.
Summary of Key Metrics
To summarise, Reliance Infrastructure Ltd’s stock has reached a 52-week low of Rs.94.15 after a sustained period of decline. The stock’s underperformance is highlighted by:
- A 5-day consecutive fall totalling -19.75%
- Yearly return of -58.31% versus Sensex’s 9.82%
- Sharp declines in quarterly profitability and sales
- Reduced institutional investor participation
- Trading below all major moving averages
- Mojo Grade downgraded to Strong Sell with a score of 26.0
These factors collectively illustrate the challenges faced by the company and the market’s cautious stance on its stock.
Market Environment
While Reliance Infrastructure’s stock has struggled, the broader market environment remains relatively positive. The Sensex’s recent gains and proximity to its 52-week high reflect strength in mega-cap stocks and overall market resilience. This divergence highlights the stock-specific nature of Reliance Infrastructure’s price movement.
Conclusion
Reliance Infrastructure Ltd’s fall to a new 52-week low of Rs.94.15 on 17 Feb 2026 marks a significant point in its recent market journey. The combination of subdued financial results, high leverage, and declining institutional interest has contributed to the stock’s underperformance relative to its sector and the broader market. While valuation metrics indicate a discount relative to peers, the company’s fundamental challenges continue to influence its market standing.
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