Saurashtra Cement Ltd Stock Falls to 52-Week Low of Rs.71.5

Stock Price Movement and Market Context

On 23 Jan 2026, Saurashtra Cement Ltd recorded its lowest price in the past year at Rs.71.5, a sharp contrast to its 52-week high of Rs.128.38. The stock’s current price is trading below all major moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling a persistent downtrend. This decline comes despite the stock outperforming its sector by 1.16% on the day, reflecting some short-term resilience within a broader negative trend.

Meanwhile, the broader market environment shows a mixed picture. The Sensex opened flat and is trading marginally higher at 82,320.09, just 0.02% up, and remains 4.66% below its own 52-week high of 86,159.02. Mid-cap stocks are leading the market with the BSE Mid Cap index gaining 0.25% today, yet Saurashtra Cement’s performance contrasts sharply with these broader market gains.

Long-Term Performance and Financial Metrics

Over the last year, Saurashtra Cement Ltd has delivered a negative return of -29.10%, significantly underperforming the Sensex, which posted a positive 7.58% return 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, indicating a sustained period of below-par performance.

Financially, the company’s operating profit has declined at an annualised rate of -10.16% over the past five years, reflecting challenges in maintaining growth momentum. The most recent quarterly results for September 2025 reveal a sharp deterioration in profitability, with Profit Before Tax (PBT) excluding other income plunging to a loss of Rs.22.31 crores, a staggering fall of -44,520.0% compared to the previous four-quarter average. Similarly, the Profit After Tax (PAT) for the quarter stood at a loss of Rs.10.98 crores, down by -624.2% relative to the prior four-quarter average. Dividend per share (DPS) has also dropped to its lowest level at Rs.0.00, underscoring the company’s constrained cash flow position.

Shareholding and Valuation Insights

Despite the company’s size within the cement sector, domestic mutual funds hold no stake in Saurashtra Cement Ltd. This absence of institutional ownership may reflect a cautious stance given the company’s recent financial performance and valuation metrics. The company maintains a low average debt-to-equity ratio of zero, indicating a conservative capital structure with minimal leverage.

Return on Equity (ROE) stands at a modest 3%, suggesting limited profitability relative to shareholder equity. The stock’s price-to-book value ratio is 0.9, indicating it is trading at a discount compared to its peers’ historical valuations. However, this valuation discount accompanies a decline in profits by -9.4% over the past year, reinforcing the subdued earnings environment.

Technical and Market Positioning

Technically, the stock’s position below all key moving averages signals continued downward pressure. The recent two-day gain of 1.99% has not yet reversed the broader negative trend. The stock’s day change of 1.21% today, while positive, remains insufficient to offset the cumulative losses experienced over the past year.

In contrast, the Sensex’s 50-day moving average remains above its 200-day moving average, a typical indicator of a bullish market trend, highlighting the divergence between Saurashtra Cement Ltd’s performance and the broader market indices.

Mojo Score and Rating Update

Saurashtra Cement Ltd currently holds a Mojo Score of 34.0, categorised under a 'Sell' Mojo Grade as of 14 Oct 2025, following a downgrade from a previous 'Hold' rating. The Market Cap Grade is rated at 4, reflecting the company’s mid-tier market capitalisation within its sector. These ratings encapsulate the company’s recent financial performance, valuation concerns, and market positioning.

The downgrade to a 'Sell' grade aligns with the company’s declining profitability, negative returns, and subdued investor interest, as reflected in the absence of domestic mutual fund holdings.

Summary of Key Financial and Market Data

To summarise, Saurashtra Cement Ltd’s stock has reached a 52-week low of Rs.71.5, down from its peak of Rs.128.38 within the last year. The stock’s one-year return of -29.10% contrasts with the Sensex’s positive 7.58% return. Quarterly results reveal significant losses with PBT excluding other income at Rs. -22.31 crores and PAT at Rs. -10.98 crores. The company’s ROE is 3%, with a price-to-book ratio of 0.9, and it maintains a zero debt-to-equity ratio. The Mojo Score of 34.0 and a 'Sell' grade reflect the current market sentiment and financial realities.

While the stock has shown minor gains in the last two days, it remains entrenched in a downward trend, trading below all major moving averages and continuing to underperform its sector and broader market indices.

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