Rishi Techtex Ltd Stock Falls to 52-Week Low of Rs.38.9

Stock Price Movement and Market Context

On the day in question, Rishi Techtex opened with a gap down of -2.38%, continuing a reversal after two consecutive days of gains. The stock underperformed its sector by -5.46%, touching an intraday low of Rs.38.9, which represents a -6.42% drop from the previous close. This new low is notably below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained downward momentum.

The broader market context was also challenging. The Sensex, after a flat opening with a minor decline of -28.13 points, fell sharply by -450.04 points to close at 81,770.44, a -0.58% drop. While the Sensex itself is trading below its 50-day moving average, the 50DMA remains above the 200DMA, indicating some underlying longer-term support. Meanwhile, the S&P Bse Oil Gas index hit a new 52-week high, highlighting sectoral divergences within the market.

Performance Over the Past Year

Rishi Techtex’s stock has underperformed significantly over the last 12 months, delivering a negative return of -13.05%, in stark contrast to the Sensex’s positive 9.59% gain and the BSE500’s 14.19% return. The stock’s 52-week high was Rs.67.7, underscoring the extent of the decline from its peak to the current low.

Fundamental and Financial Metrics

Rishi Techtex’s fundamental profile remains subdued, reflected in its MarketsMOJO Mojo Score of 26.0 and a Mojo Grade of Strong Sell, upgraded from Sell on 13 Feb 2026. The company’s market capitalisation grade stands at 4, indicating a relatively modest market cap within its sector.

The company’s long-term financial strength is limited, with an average Return on Capital Employed (ROCE) of 7.97%, which is below typical benchmarks for robust capital efficiency. Net sales have grown at an annualised rate of 14.25% over the past five years, suggesting moderate top-line expansion but not at a pace sufficient to drive stronger market confidence.

Debt servicing capacity is a concern, with a high Debt to EBITDA ratio of 3.34 times, indicating elevated leverage relative to earnings before interest, taxes, depreciation, and amortisation. This level of indebtedness may constrain financial flexibility and increase risk perceptions among market participants.

Recent Financial Results and Profitability

The company reported flat results for the quarter ended December 2025, which did not provide a catalyst for positive price movement. Despite the stock’s negative price performance, profits have doubled over the past year, resulting in a PEG ratio of 0.1. This suggests that while earnings growth has been strong, it has not yet translated into improved market valuation or investor sentiment.

Valuation and Relative Positioning

From a valuation standpoint, Rishi Techtex is trading at a discount relative to its peers, with an enterprise value to capital employed ratio of 0.9, which is considered very attractive. This discount reflects the market’s cautious stance given the company’s financial metrics and recent price action.

Majority shareholding is held by non-institutional investors, which may influence liquidity and trading dynamics.

Summary of Key Indicators

To summarise, Rishi Techtex Ltd’s stock has reached a new 52-week low of Rs.38.9, reflecting a combination of subdued financial performance, elevated leverage, and broader market pressures. The stock’s underperformance relative to the Sensex and its sector peers over the past year highlights ongoing challenges in regaining investor confidence. While valuation metrics suggest the stock is trading at a discount, the company’s fundamental metrics and recent price trends continue to weigh on its market standing.

Investors and market watchers will note the stock’s positioning below all major moving averages and its recent downgrade to a Strong Sell grade by MarketsMOJO, underscoring the cautious outlook prevailing in the market.

Limited Period Only. Start at Rs. 9,999 - Get MojoOne for 1 Year + 3 Months FREE (60% Off) Get 71% Off →