Price Movement and Market Context
On 21 Jan 2026, Shangar Decor Ltd recorded a 4.00% increase in its daily share price, outperforming the Sensex which declined by 0.13%. Despite this short-term uptick, the stock remains deeply entrenched below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained bearish momentum.
Over the past week, the stock has declined by 7.14%, compared to a 1.57% drop in the Sensex. The one-month performance shows a 3.70% decrease against the Sensex’s 3.36% fall. More notably, the three-month performance reveals a steep 23.53% drop, far exceeding the Sensex’s modest 2.79% decline. The year-to-date figures also highlight underperformance, with Shangar Decor down 10.34% versus the Sensex’s 3.69% fall.
Longer-term trends are even more pronounced. The stock has lost 76.19% in value over the last year, while the Sensex has gained 8.22%. Over five years, Shangar Decor’s share price has plummeted 91.70%, in stark contrast to the Sensex’s 65.39% rise. The three-year and ten-year returns for Shangar Decor remain flat at 0.00%, compared to Sensex gains of 35.39% and 242.51% respectively.
Momentum just kicked in! This Small Cap from the Auto - Trucks sector entered our list with explosive short-term signals. Catch the wave while it's still building!
- - Fresh momentum detected
- - Explosive short-term signals
- - Early wave positioning
Financial Performance and Valuation Metrics
Shangar Decor Ltd’s financial results have reflected a challenging environment. For the nine months ending September 2025, net sales stood at Rs.11.59 crores, representing a decline of 21.10% year-on-year. Correspondingly, the company reported a net loss (PAT) of Rs.1.31 crores for the same period, also down by 21.10% compared to the previous year.
The company’s return on equity (ROE) remains subdued, averaging 2.93% over recent years, with the latest figure at a mere 0.3%. This indicates limited profitability generated per unit of shareholders’ funds. The valuation metrics further underline the stock’s discounted status, trading at a price-to-book value of 0.2, which is low relative to its peers’ historical averages.
Operating profit growth has been negative, with a compound annual growth rate (CAGR) of -13.11% over the past five years. The company’s ability to service debt is constrained, as evidenced by a high Debt to EBITDA ratio of 3.36 times, signalling elevated leverage relative to earnings before interest, tax, depreciation, and amortisation.
Comparative Performance and Market Position
Shangar Decor Ltd’s performance has consistently lagged behind broader market indices and sector benchmarks. Over the last three months, the stock’s 23.53% decline contrasts sharply with the Sensex’s 2.79% fall. The one-year return of -76.19% is particularly stark when compared to the Sensex’s positive 8.22% gain.
In addition to underperformance in price returns, the company’s profitability has deteriorated significantly, with profits falling by 89.5% over the past year. This combination of weak earnings and share price decline has contributed to the stock’s current status as a strong sell, as reflected in its Mojo Score of 17.0 and a recent downgrade from Sell to Strong Sell on 28 Mar 2025.
The company’s market capitalisation grade stands at 4, indicating a relatively small market cap within its sector. Majority shareholding remains with non-institutional investors, which may influence liquidity and trading dynamics.
Considering Shangar Decor Ltd? Wait! SwitchER has found potentially better options in Diversified Commercial Services and beyond. Compare this micro-cap with top-rated alternatives now!
- - Better options discovered
- - Diversified Commercial Services + beyond scope
- - Top-rated alternatives ready
Summary of Key Financial Indicators
Operating Profit CAGR (5 years): -13.11%
Debt to EBITDA Ratio: 3.36 times
Average Return on Equity: 2.93%
Net Sales (9M Sep 2025): Rs.11.59 crores (-21.10%)
Profit After Tax (9M Sep 2025): Rs.-1.31 crores (-21.10%)
Price to Book Value: 0.2
Mojo Score: 17.0 (Strong Sell, downgraded from Sell on 28 Mar 2025)
Trading and Valuation Context
The stock’s current trading price of Rs.0.25 represents a historic low, underscoring the prolonged downward trajectory. Despite a modest positive movement on the day of reporting, the overall trend remains negative across multiple time horizons. The stock’s valuation metrics suggest it is trading at a discount relative to its sector peers, though this is accompanied by weak profitability and high leverage.
Shangar Decor Ltd’s underperformance relative to the BSE500 index over the last three years, one year, and three months further highlights the challenges faced by the company in maintaining competitive positioning within the diversified commercial services sector.
Shareholding and Market Capitalisation
The majority of Shangar Decor Ltd’s shares are held by non-institutional investors, which may affect trading volumes and price stability. The company’s market capitalisation grade of 4 indicates a smaller market cap relative to other companies in the sector, which can contribute to higher volatility and limited analyst coverage.
Conclusion
Shangar Decor Ltd’s stock reaching an all-time low of Rs.0.25 reflects a culmination of sustained declines in financial performance, profitability, and market valuation. The company’s weak growth in operating profits, high debt levels, and low returns on equity have contributed to its current standing as a strong sell within the diversified commercial services sector. The stock’s persistent underperformance against major indices and sector benchmarks underscores the severity of its situation as of January 2026.
Unlock special upgrade rates for a limited period. Start Saving Now →
