Stock Price Movement and Market Context
On 7 Jan 2026, Rossell India Ltd’s share price declined by 1.71%, underperforming its sector by 2.16%. This marks the third consecutive day of losses, with the stock falling by 5.03% over this period. The current price of Rs.47.8 is substantially below its 52-week high of Rs.86.65, representing a decline of approximately 44.8% from that peak.
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 persistent bearish momentum. This contrasts with the broader market, where the Sensex opened lower at 84,620.40 points, down 0.52%, but remains close to its 52-week high of 86,159.02, just 1.4% away. The Sensex is also trading above its 50-day and 200-day moving averages, indicating a generally bullish market environment. Mid-cap stocks are leading gains, with the BSE Mid Cap index up by 0.3% on the day.
Financial Performance and Valuation Metrics
Rossell India Ltd’s financial indicators reveal challenges that have contributed to its share price decline. The company has experienced a negative compound annual growth rate (CAGR) of -18.57% in operating profits over the past five years, highlighting a prolonged period of earnings contraction. This weak long-term profitability is further reflected in its average return on equity (ROE) of 7.59%, which is modest relative to industry standards.
Debt servicing capacity remains a concern, with a high Debt to EBITDA ratio of 3.54 times, indicating elevated leverage and potential pressure on cash flows. Despite these factors, the company’s return on capital employed (ROCE) stands at 5.4%, and it maintains an enterprise value to capital employed ratio of 0.8, suggesting a valuation that is attractive relative to its capital base.
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Comparative Performance and Market Position
Over the last year, Rossell India Ltd has delivered a total return of -39.42%, significantly underperforming the Sensex, which gained 8.69% over the same period. The stock has also lagged behind the BSE500 index across multiple time frames, including the last three years, one year, and three months, underscoring its relative weakness within the broader market.
Despite the negative price performance, the company’s profits have increased by 11.8% over the past year, resulting in a price-to-earnings-to-growth (PEG) ratio of 1.1. This indicates that while earnings growth has been positive, it has not translated into share price appreciation, possibly due to concerns over other financial metrics and market sentiment.
Shareholding and Corporate Structure
The majority ownership of Rossell India Ltd rests with its promoters, who maintain significant control over the company’s strategic direction. This concentrated shareholding structure is typical within the FMCG sector but places emphasis on the promoters’ ability to steer the company through its current challenges.
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Rating and Market Sentiment
MarketsMOJO assigns Rossell India Ltd a Mojo Score of 26.0, categorising it with a Strong Sell rating as of 8 Dec 2025, an upgrade from its previous Sell grade. This rating reflects the company’s weak long-term fundamentals, including its declining operating profits and limited profitability metrics. The market capitalisation grade stands at 4, indicating a relatively modest size within its sector.
The stock’s recent price action and fundamental indicators suggest that it remains under pressure, with limited near-term momentum. The flat results reported in January 1970 (historical data point) further highlight the company’s challenges in delivering consistent earnings growth.
Summary of Key Metrics
To summarise, Rossell India Ltd’s key financial and market metrics as of early January 2026 are:
- New 52-week low price: Rs.47.8
- 1-year stock return: -39.42%
- Sensex 1-year return: +8.69%
- Operating profit CAGR (5 years): -18.57%
- Debt to EBITDA ratio: 3.54 times
- Average ROE: 7.59%
- ROCE: 5.4%
- PEG ratio: 1.1
- Mojo Score: 26.0 (Strong Sell)
These figures illustrate the stock’s current valuation discount relative to peers, but also underline the financial pressures it faces.
Market Environment and Sector Performance
While Rossell India Ltd struggles, the FMCG sector and broader market indices have shown resilience. The Sensex’s proximity to its 52-week high and the leadership of mid-cap stocks in recent trading sessions indicate a generally positive market backdrop. This divergence highlights the stock’s specific challenges rather than sector-wide issues.
Conclusion
Rossell India Ltd’s fall to a 52-week low of Rs.47.8 reflects a combination of subdued financial performance, elevated leverage, and market valuation concerns. Despite some positive profit growth over the past year, the stock’s long-term returns and fundamental metrics have weighed on investor sentiment. The company’s position below all major moving averages and its Strong Sell rating from MarketsMOJO further emphasise the cautious stance reflected in its current price levels.
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