Stock Performance and Market Context
On 20 Jan 2026, Revathi Equipment India Ltd’s shares opened at Rs 650 and traded at this level throughout the day, closing at the same price after an intraday fall of -2.69%. This decline extended the stock’s losing streak to four consecutive sessions, resulting in an overall return of -8.42% during this period. The stock underperformed its sector by -1.45% on the day, highlighting relative weakness within its peer group.
The current price of Rs 650 represents a sharp drop from the stock’s 52-week high of Rs 2,099.85, underscoring a steep depreciation of approximately 69% over the past year. This contrasts markedly with the broader market benchmark, the Sensex, which has delivered a positive return of 7.60% over the same timeframe.
Technical indicators further illustrate the stock’s subdued momentum, with the share price trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This persistent downward trend signals sustained selling pressure and a lack of short-term recovery signals.
Financial Performance and Fundamental Metrics
Revathi Equipment India Ltd’s financial results have been under strain, with the company reporting a decline in net sales by -40.14% in the quarter ending September 2025. Quarterly net sales stood at Rs 22.83 crores, down -38.6% compared to the previous four-quarter average. Profit after tax (PAT) for the latest six months was Rs 0.99 crore, reflecting a contraction of -37.15%.
The company has recorded negative results for four consecutive quarters, indicating persistent challenges in revenue generation and profitability. Operating profit to interest coverage ratio has deteriorated to -0.42 times, signalling difficulties in covering interest expenses from operating earnings.
Return on equity (ROE) averaged 8.19%, which is modest and points to limited profitability relative to shareholders’ funds. Despite this, the stock’s valuation remains relatively attractive with a price-to-book value of 1.6, suggesting that the market is pricing in the company’s current difficulties.
Our current monthly pick, this Mid Cap from Automobile Two & Three Wheelers, survived rigorous evaluation against dozens of contenders. See why experts are backing this one!
- - Rigorous evaluation cleared
- - Expert-backed selection
- - Mid Cap conviction pick
Long-Term Trends and Sector Comparison
Over the last three years, Revathi Equipment India Ltd has consistently underperformed the BSE500 index, reflecting structural challenges within the company and its sector. The stock’s one-year return of -69.04% starkly contrasts with the Sensex’s modest gains, emphasising the divergence in performance.
The Sensex itself has experienced a three-week consecutive decline, losing -3.31% and closing at 82,926.46 on 20 Jan 2026, which is 3.9% below its 52-week high of 86,159.02. While the broader market shows some signs of volatility, Revathi Equipment’s decline is notably more pronounced and company-specific.
Within the industrial manufacturing sector, the stock’s performance has lagged peers, with the sector showing relatively better resilience despite recent market fluctuations.
Shareholding and Market Capitalisation
The company’s majority shareholding is held by promoters, which remains unchanged. Revathi Equipment India Ltd holds a market capitalisation grade of 4, reflecting its micro-cap status within the industrial manufacturing industry.
Its Mojo Score stands at 15.0, with a Mojo Grade of Strong Sell as of 11 Nov 2025, an upgrade from the previous Sell rating. This grading reflects the company’s weak long-term fundamental strength and ongoing financial pressures.
Revathi Equipment India Ltd or something better? Our SwitchER feature analyzes this micro-cap Industrial Manufacturing stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Summary of Key Financial Indicators
To summarise, Revathi Equipment India Ltd’s recent financial and market data reveal a company facing significant headwinds. The net sales decline of over 40% and four consecutive quarters of negative results highlight ongoing revenue and profitability pressures. The operating profit to interest coverage ratio below zero further indicates challenges in managing financial obligations.
Despite a modest ROE of 8.19%, the company’s valuation remains relatively low, with a price-to-book ratio of 1.6, reflecting market caution. The stock’s consistent underperformance relative to the Sensex and sector peers over multiple timeframes underscores the scale of the challenges faced.
Trading below all major moving averages and hitting a new 52-week low of Rs 650, the stock’s technical and fundamental indicators align to portray a cautious outlook for the near term.
Market and Sector Overview
The industrial manufacturing sector continues to experience mixed performance amid broader market volatility. While the Sensex has declined modestly over recent weeks, it remains close to its 52-week high, suggesting resilience in other sectors. Revathi Equipment India Ltd’s sharper decline relative to the sector points to company-specific factors influencing its stock price.
Investors and market participants will continue to monitor the company’s financial disclosures and market movements closely as the stock remains at a critical valuation juncture.
Upgrade at special rates, valid only for the next few days. Claim Your Special Rate →
