Recent Price Movement and Market Context
On 21 Jan 2026, Roopa Industries Ltd (Stock ID: 796559) recorded a closing price of Rs.41, the lowest level in the past year. This represents a decline of 0.99% on the day, underperforming the Pharmaceuticals & Biotechnology sector by 0.55%. The stock has been on a losing streak for two consecutive sessions, delivering a cumulative negative return of 6.32% over this period. Notably, trading activity has been somewhat erratic, with the stock not trading on one of the last 20 trading days.
The broader market environment has also been challenging. The Sensex opened 385.82 points lower and was trading at 81,776.53, down 0.49%. The index has experienced a three-week consecutive decline, losing 4.65% in that span. While the Sensex trades below its 50-day moving average, the 50DMA remains above the 200DMA, indicating some underlying support at the index level.
Roopa Industries is currently trading below all key moving averages — 5-day, 20-day, 50-day, 100-day, and 200-day — signalling a persistent bearish momentum in the stock price.
Turnaround taking shape! This Small Cap from NBFC sector just hit profitability with strong business fundamentals showing up. Catch it before the major breakout happens!
- - Recently turned profitable
- - Strong business fundamentals
- - Pre-breakout opportunity
Long-Term Performance and Valuation Metrics
Over the past year, Roopa Industries has delivered a negative return of 39.30%, significantly lagging the Sensex’s positive 7.88% gain during the same period. The stock’s 52-week high was Rs.86.34, highlighting the extent of the decline from its peak. The underperformance extends beyond the last year, with the stock also trailing the BSE500 index over the last three years, one year, and three months.
Despite the price weakness, the company’s profits have risen by 21.5% over the past year, resulting in a price-to-earnings-to-growth (PEG) ratio of 0.8. This suggests that the stock is trading at a discount relative to its earnings growth potential. Additionally, the company’s enterprise value to capital employed ratio stands at 1.3, which is considered very attractive compared to peers.
Financial Health and Credit Metrics
Roopa Industries’ financial fundamentals have been under pressure. The company’s long-term return on capital employed (ROCE) is weak, averaging 5.60%, with the half-year ROCE recently reported at 10.51%. The debt servicing capacity is limited, as indicated by a high Debt to EBITDA ratio of 7.23 times, raising concerns about leverage and financial flexibility.
Cash flow generation has also been subdued. The operating cash flow for the year was negative at Rs. -6.59 crores, while cash and cash equivalents at half-year stood at a low Rs.1.70 crores. These figures underscore the constrained liquidity position of the company.
Shareholding and Market Sentiment
The majority of Roopa Industries’ shares are held by non-institutional investors, which may contribute to the stock’s volatility and trading patterns. The company’s Mojo Score is 17.0, with a Mojo Grade of Strong Sell as of 7 Jul 2025, an upgrade from the previous Sell rating. The market capitalisation grade is 4, reflecting its micro-cap status within the Pharmaceuticals & Biotechnology sector.
Why settle for Roopa Industries Ltd? SwitchER evaluates this Pharmaceuticals & Biotechnology micro-cap against peers, other sectors, and market caps to find you superior investment opportunities!
- - Comprehensive evaluation done
- - Superior opportunities identified
- - Smart switching enabled
Summary of Key Financial Indicators
Roopa Industries’ key financial indicators present a mixed picture. While profitability metrics such as ROCE remain subdued, the company’s valuation ratios suggest it is trading at a discount relative to its capital employed and earnings growth. The negative operating cash flow and limited cash reserves highlight ongoing liquidity constraints. The stock’s consistent trading below all major moving averages reflects the prevailing bearish sentiment among market participants.
The stock’s recent 52-week low of Rs.41 is a notable milestone in its price trajectory, underscoring the challenges faced by the company in maintaining investor confidence amid a difficult market environment and financial pressures.
Market and Sector Comparison
Within the Pharmaceuticals & Biotechnology sector, Roopa Industries has underperformed its peers, both in terms of price performance and key financial metrics. The sector has generally shown resilience despite broader market volatility, but Roopa Industries’ relative weakness is evident in its lower Mojo Grade and market capitalisation rating.
The Sensex’s recent decline of 4.65% over three weeks contrasts with the stock’s sharper losses, indicating company-specific factors are driving the underperformance rather than sector-wide trends alone.
Conclusion
Roopa Industries Ltd’s stock reaching a 52-week low of Rs.41 reflects a combination of subdued financial performance, high leverage, and limited liquidity. The stock’s valuation metrics indicate it is trading at a discount relative to peers, but the persistent downtrend and weak returns over the past year highlight ongoing challenges. The company’s position below all major moving averages and the broader market’s cautious tone contribute to the subdued price action observed in recent sessions.
Unlock special upgrade rates for a limited period. Start Saving Now →
