Sai Silks (Kalamandir) Ltd Stock Hits All-Time Low Amid Prolonged Downtrend

Stock Price Movement and Market Context

On 29 Jan 2026, Sai Silks (Kalamandir) Ltd’s stock price fell by 3.14%, closing close to its 52-week low of Rs 109.4, just 0.27% away. The intraday low touched Rs 109.7, reflecting a 2.88% decline from the previous close. This performance notably underperformed the Sensex, which declined by only 0.30% on the same day, and the Garments & Apparels sector, where Sai Silks lagged by 1.36%.

The stock is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling persistent bearish momentum. Over the past month, the stock has plunged 30.21%, while the Sensex fell by 3.07%. The three-month decline is even more pronounced at 42.53%, compared to the Sensex’s 3.41% drop.

Long-Term Performance and Relative Weakness

Over the last year, Sai Silks has generated a negative return of 36.28%, contrasting sharply with the Sensex’s positive 7.27% gain. Year-to-date performance also remains weak, with a 30.52% decline against the Sensex’s 3.67% fall. The stock has underperformed the BSE500 index over the last three months, one year, and three years, with no appreciable gains recorded over the three- and five-year horizons, where the Sensex posted gains of 38.37% and 77.37% respectively.

Financial Metrics and Growth Trends

Despite the stock’s decline, Sai Silks has reported positive financial results in recent quarters. The company declared profits for three consecutive quarters, with a 9-month PAT of Rs 108.27 crores. Return on Capital Employed (ROCE) for the half-year period reached a high of 15.52%, while the debt-to-equity ratio remained low at 0.25 times, reflecting a conservative capital structure. The average debt-to-equity ratio stands at 0.08 times, indicating minimal leverage.

Net sales have grown at an annualised rate of 10.50% over the past five years, with operating profit increasing at 10.78% annually. However, these growth rates have not translated into corresponding stock price appreciation, as the company’s valuation metrics suggest a discount relative to peers. The Price to Book Value ratio is 1.5, and the Return on Equity (ROE) is 10.3, which are considered attractive valuation indicators.

Institutional Investor Activity

Institutional participation in Sai Silks has diminished, with a 5.4% reduction in stake over the previous quarter. Currently, institutional investors hold 9.68% of the company’s shares. This decline in institutional ownership may reflect a reassessment of the company’s fundamentals by investors with greater analytical resources.

Valuation and Profitability Indicators

While the stock has generated a negative return of 36.28% over the last year, the company’s profits have increased by 21% during the same period. This disparity results in a Price/Earnings to Growth (PEG) ratio of 0.7, suggesting that the stock is trading at a valuation below what might be expected given its earnings growth. Nevertheless, this has not been sufficient to arrest the stock’s downward trend.

Mojo Score and Analyst Ratings

Sai Silks currently holds a Mojo Score of 43.0, categorised as a Sell grade by MarketsMOJO. This represents a downgrade from a previous Hold rating, effective from 19 Jan 2026. The company’s market capitalisation grade is 3, reflecting its small-cap status within the Garments & Apparels sector. The downgrade aligns with the stock’s sustained underperformance and subdued investor sentiment.

Summary of Key Performance Indicators

The stock’s recent performance metrics highlight a challenging environment: a 3.14% decline on the latest trading day, a 30.21% drop over the past month, and a 42.53% fall over three months. These figures contrast with the broader market’s relatively stable performance. Despite positive profit growth and conservative leverage, the stock’s valuation and price trends remain subdued.

Conclusion

Sai Silks (Kalamandir) Ltd’s stock reaching an all-time low underscores the difficulties faced by the company in translating financial improvements into market confidence. The stock’s persistent underperformance relative to the Sensex and its sector, combined with declining institutional interest, paints a picture of a company navigating a complex market environment. While financial metrics show pockets of strength, the overall market response has been cautious, reflected in the stock’s current valuation and trading levels.

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