Stock Performance and Market Context
On 1 February 2026, Revathi Equipment India Ltd’s share price settled at Rs.640, establishing a fresh 52-week and all-time low. This follows a three-day consecutive decline, during which the stock lost 7.25% in value. Despite this recent fall, the stock marginally outperformed its sector on the day, registering a 0.00% change compared to the Capital Goods sector’s 2.15% decline. However, the stock’s performance over longer periods remains notably weak.
Over the past one year, the stock has plummeted by 64.00%, starkly contrasting with the Sensex’s 5.11% gain during the same period. The three-month return of -29.35% also significantly underperforms the Sensex’s -4.41%. Year-to-date, the stock has declined 8.45%, while the Sensex fell 5.33%. The stock’s narrow trading range of just Rs.2 in recent sessions and its failure to trade on one day in the last 20 trading days further underscore subdued liquidity and investor interest.
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 a sustained bearish trend. This technical weakness is compounded by the stock’s erratic trading pattern and lack of upward momentum.
Under the radar no more! This Large Cap from Cement is emerging from turnaround with solid fundamentals intact. Discover it while it's still relatively hidden!
- - Hidden turnaround gem
- - Solid fundamentals confirmed
- - Large Cap opportunity
Financial Metrics and Profitability Trends
Revathi Equipment India Ltd’s financial performance has been under pressure, with the company reporting negative results for five consecutive quarters. The latest quarterly figures reveal a net loss after tax (PAT) of Rs. -1.40 crore, representing a sharp decline of 153.2% compared to the average of the previous four quarters. Net sales for the quarter stood at Rs. 32.23 crore, down 15.1% from the prior four-quarter average, while interest expenses increased by 25.89% to Rs. 2.82 crore.
These figures highlight a deteriorating earnings profile, with operating profits shrinking at a compounded annual growth rate (CAGR) of -26.82% over the last five years. The company’s average return on equity (ROE) remains modest at 8.19%, indicating limited profitability relative to shareholders’ funds. Despite this, the stock trades at a price-to-book value of 1.6, which may be considered attractive given the current valuation environment.
Comparative Performance and Sectoral Impact
When benchmarked against the broader market and sector indices, Revathi Equipment India Ltd’s performance is notably subpar. The stock has underperformed the BSE500 index over the last three years, one year, and three months. While the Sensex has delivered a 35.60% return over three years and a 224.40% gain over ten years, Revathi Equipment India Ltd’s stock has remained flat over these periods.
The Capital Goods sector, to which the company belongs, has also faced headwinds, declining 2.15% recently. However, Revathi Equipment’s steeper losses and persistent downtrend suggest company-specific factors are weighing heavily on its valuation.
Holding Revathi Equipment India Ltd from Industrial Manufacturing? See if there's a smarter choice! SwitchER compares it with peers and suggests superior options across market caps and sectors!
- - Peer comparison ready
- - Superior options identified
- - Cross market-cap analysis
Shareholding and Market Sentiment
The majority shareholding in Revathi Equipment India Ltd remains with the promoters, reflecting concentrated ownership. The company’s Mojo Score currently stands at 17.0, with a Mojo Grade of Strong Sell, an upgrade from the previous Sell rating dated 11 November 2025. The market capitalisation grade is rated 4, indicating a relatively modest market cap within its sector.
Despite the recent rating adjustment, the stock’s price action and financial metrics continue to reflect significant challenges. The absence of price movement on the latest trading day, coupled with a narrow trading range and consistent underperformance, suggests limited market enthusiasm.
Summary of Key Financial and Market Indicators
Over the last year, the company’s profits have declined by approximately 35%, while the stock price has fallen by 64%. Interest costs have risen, further pressuring earnings. The stock’s failure to recover above any major moving average levels and its persistent losses over multiple quarters underscore the severity of the current situation.
In comparison, the Sensex and broader indices have delivered positive returns over the same periods, highlighting the stock’s relative underperformance. The company’s long-term growth trajectory, as measured by operating profit CAGR, remains negative, and its return on equity is modest, reflecting subdued profitability.
Conclusion
Revathi Equipment India Ltd’s stock reaching an all-time low of Rs.640 marks a significant point in its prolonged decline. The combination of shrinking sales, rising interest expenses, consecutive quarterly losses, and technical weakness paints a challenging picture. While the stock’s valuation metrics may appear attractive on a price-to-book basis, the underlying financial and market data indicate ongoing pressures within the company and its sector.
Investors and market participants will continue to monitor the stock’s performance closely amid these developments, with the current data reflecting a period of sustained difficulty for Revathi Equipment India Ltd.
Upgrade at special rates, valid only for the next few days. Claim Your Special Rate →
