Sarda Proteins Falls 9.74%: Sharp Gap Down and Persistent Selling Pressure

29 December 2025: Sharp Gap Down Sets Negative Tone

On the first trading day of the week, Sarda Proteins opened at Rs.74.11, marking a steep 9.74% decline from the previous close of Rs.82.11. This gap down was accompanied by an intraday low that matched the opening price, with the stock failing to recover throughout the session. The static trading at this low level indicated persistent selling pressure and a lack of buying interest.

In contrast, the Sensex closed marginally lower by 0.41% at 37,140.23, while the edible oil sector outperformed Sarda Proteins by 10.21%, underscoring the company-specific nature of the weakness. The stock’s underperformance was further highlighted by its position below its 5-day, 20-day, 50-day, and 100-day moving averages, despite remaining above the 200-day moving average, signalling short- to medium-term bearish momentum.

Technical indicators reinforced this negative outlook. The Moving Average Convergence Divergence (MACD) was bearish on weekly and mildly bearish on monthly charts, while Bollinger Bands and the Know Sure Thing (KST) indicator also suggested downward pressure. The Relative Strength Index (RSI) showed no clear oversold or overbought conditions, but the overall technical picture was dominated by bearish signals.

Adding to the volatility, Sarda Proteins is classified as a high beta stock with an adjusted beta of 1.35 relative to the Small and Midcap index, amplifying its sensitivity to market fluctuations. The stock’s erratic trading pattern, including four non-trading days in the past twenty sessions, may have contributed to investor caution.

30 December 2025 to 2 January 2026: Price Stagnation Amid Market Gains

Following the dramatic drop on 29 December, Sarda Proteins’ stock price remained unchanged at Rs.74.11 for the remainder of the week. Despite the broader market’s positive momentum, with the Sensex rising steadily from 37,135.83 on 30 December to 37,799.57 by 2 January, the stock showed no signs of recovery or upward movement.

This stagnation amid a rising market highlights the persistent bearish sentiment surrounding the stock. The lack of price movement suggests that investors remained cautious, possibly awaiting clearer signals or further developments before committing to buying.

Volume remained constant at 15,229 shares traded daily, indicating subdued trading interest. The absence of intra-day price fluctuations during these sessions further emphasises the stock’s lack of momentum.

Market sentiment is also reflected in the company’s Mojo Score of 23.0, categorised as a Strong Sell by MarketsMOJO. This rating was downgraded from Sell on 12 November 2025, signalling deteriorating fundamentals or outlook. The market capitalisation grade of 3 places Sarda Proteins in a mid-tier valuation bracket within its sector, but this has not translated into positive price action.

Weekly Price Performance: Sarda Proteins vs Sensex

Key Takeaways

Negative Price Action and Underperformance: The stock’s 9.74% weekly decline sharply contrasts with the Sensex’s 1.35% gain, highlighting significant underperformance and investor caution.

Bearish Technical Indicators: Multiple technical signals, including MACD, Bollinger Bands, and moving averages, point to sustained downward momentum, with the stock trading below key short- and medium-term averages.

High Beta and Volatility: The adjusted beta of 1.35 indicates heightened sensitivity to market swings, which was evident in the sharp gap down and lack of recovery.

Strong Sell Rating: The Mojo Score of 23.0 and Strong Sell rating reflect deteriorating fundamentals and market sentiment, contributing to the stock’s weak performance.

Stagnant Trading Post-Drop: The absence of price movement after the initial gap down suggests persistent selling pressure and limited buying interest despite broader market gains.

Conclusion

Sarda Proteins Ltd’s week was defined by a pronounced gap down and sustained price weakness, culminating in a 9.74% weekly loss amid a rising Sensex. The stock’s inability to recover from the sharp decline, combined with bearish technical indicators and a Strong Sell rating, underscores ongoing challenges in regaining investor confidence. While the broader market advanced steadily, Sarda Proteins remained static at Rs.74.11, reflecting cautious sentiment and heightened volatility. Investors should note the stock’s high beta and erratic trading patterns as factors contributing to its current risk profile.

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