Shakti Pumps (India) Ltd Faces Bearish Momentum Amid Technical Downgrade

Price Performance and Market Context

As of 17 Feb 2026, Shakti Pumps closed at ₹564.60, down sharply by 11.83% from the previous close of ₹640.35. The stock’s intraday range was between ₹558.00 and ₹590.00, indicating heightened volatility. Over the past week, the stock has declined by 13.35%, significantly underperforming the Sensex, which fell by just 0.94% in the same period. The one-month and year-to-date returns are also deeply negative at -20.68% and -22.10% respectively, compared to Sensex returns of -0.35% and -2.28%. Even on a one-year basis, Shakti Pumps has lagged the benchmark, posting a -33.19% return against the Sensex’s 9.66% gain.

Despite this recent weakness, the stock’s long-term performance remains impressive, with a three-year return of 719.97% and a ten-year return exceeding 3,100%, far outpacing the Sensex’s respective gains of 35.81% and 259.08%. This contrast highlights the severity of the current technical deterioration relative to its historical strength.

Technical Indicator Analysis

The technical trend for Shakti Pumps has shifted from mildly bearish to outright bearish, signalling a more pronounced downtrend. The Moving Average Convergence Divergence (MACD) indicator presents a mixed picture: the weekly MACD is bearish, confirming short-term selling momentum, while the monthly MACD remains mildly bearish, suggesting that longer-term momentum is weakening but not yet decisively negative.

The Relative Strength Index (RSI) on both weekly and monthly charts currently shows no clear signal, hovering in neutral territory. This indicates that the stock is neither oversold nor overbought, but the absence of bullish RSI divergence reduces the likelihood of an imminent reversal.

Bollinger Bands reinforce the bearish outlook, with both weekly and monthly bands signalling downward pressure. The stock price is trading near the lower band, which often reflects increased selling pressure and potential continuation of the downtrend.

Daily moving averages are firmly bearish, with the stock price below key averages such as the 50-day and 200-day moving averages. This alignment confirms the prevailing negative momentum and suggests resistance at higher levels.

Additional Technical Signals

The Know Sure Thing (KST) indicator offers a nuanced view: it is mildly bullish on the weekly timeframe but mildly bearish on the monthly chart. This divergence indicates some short-term attempts at recovery, but the broader monthly trend remains weak. Dow Theory assessments align with this mixed signal, showing a mildly bearish weekly trend but a mildly bullish monthly trend, reflecting uncertainty in the intermediate term.

On-Balance Volume (OBV) shows no clear trend on either weekly or monthly charts, suggesting that volume is not confirming any strong directional move. This lack of volume confirmation often weakens the conviction behind price moves.

Mojo Score and Rating Implications

MarketsMOJO’s proprietary scoring system has downgraded Shakti Pumps from a Hold to a Sell rating as of 06 Nov 2025, reflecting the deteriorating technical and fundamental outlook. The current Mojo Score stands at 34.0, which is firmly in the Sell territory. This downgrade is significant given the previous Hold rating, signalling increased caution among analysts and investors.

The Market Cap Grade is rated 3, indicating a mid-tier market capitalisation relative to peers in the Compressors, Pumps & Diesel Engines sector. This sector has faced headwinds recently, with many companies experiencing pressure from rising input costs and subdued demand in key end markets.

Sector and Industry Context

Shakti Pumps operates within the Compressors, Pumps & Diesel Engines industry, a sector that has seen mixed performance amid global supply chain disruptions and fluctuating commodity prices. While some peers have managed to stabilise earnings and maintain technical strength, Shakti Pumps’ recent price momentum shift suggests it is currently underperforming its industry cohort.

Investors should note that the stock’s 52-week high was ₹1,047.00, nearly double the current price, while the 52-week low stands at ₹549.00, close to the present level. This proximity to the annual low further emphasises the bearish technical environment and the risk of further downside if support levels fail to hold.

Technical Outlook and Investor Considerations

Given the confluence of bearish signals across multiple technical indicators, the outlook for Shakti Pumps remains cautious. The weekly MACD and Bollinger Bands suggest continued selling pressure, while the daily moving averages confirm the downtrend. The absence of strong RSI or OBV signals reduces the likelihood of a near-term reversal.

Investors should be wary of entering new long positions until there is clear evidence of momentum stabilisation or improvement in technical indicators. The mixed signals from KST and Dow Theory on monthly charts imply that any recovery may be tentative and short-lived without fundamental catalysts.

Comparatively, the stock’s underperformance relative to the Sensex and its sector peers highlights the need for portfolio diversification and consideration of alternative investments with stronger technical profiles.

Conclusion

Shakti Pumps (India) Ltd is currently navigating a challenging technical landscape, with multiple indicators signalling bearish momentum and a downgrade in its technical rating to Sell. The stock’s sharp price decline, underperformance relative to the Sensex, and negative signals from MACD, moving averages, and Bollinger Bands suggest that caution is warranted for investors.

While the company’s long-term track record remains strong, the near-term technical outlook is unfavourable. Investors should monitor key support levels near ₹550 and watch for any improvement in momentum indicators before considering fresh exposure. Meanwhile, exploring alternative stocks with more robust technical profiles may offer better risk-adjusted opportunities in the current market environment.

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