Shekhawati Industries Falls to 52-Week Low of Rs.18.7 Amidst Weak Financials

The stock’s fall to Rs.18.7 represents a sharp contrast to its 52-week high of Rs.42.77, reflecting a substantial depreciation of over 56% within the last year. This decline comes despite the broader market’s positive momentum, with the Sensex rising by 0.62% to close at 85,199.95 on the same day, just 0.11% shy of its own 52-week high of 85,290.06. While mega-cap stocks led the market rally, Shekhawati Industries notably underperformed its sector and the overall market indices.

On 19 Nov 2025, Shekhawati Industries’ stock price underperformed the Garments & Apparels sector by 1.8%, and it traded below all key moving averages including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This technical positioning indicates sustained downward pressure on the stock price over multiple time horizons.

Over the past year, Shekhawati Industries has recorded a negative return of -54.39%, in stark contrast to the Sensex’s positive return of 9.81% and the BSE500’s 8.22% gain. This divergence highlights the stock’s relative weakness within the market and its sector.

Financially, Shekhawati Industries has faced challenges over recent periods. The company’s net sales for the latest six months stood at Rs.6.00 crores, showing a contraction of 82.55% compared to previous periods. Profit after tax (PAT) for the nine months ended was Rs.4.52 crores, reflecting a decline of 64.87%. These figures underscore a significant reduction in revenue and profitability.

Inventory turnover ratio for the half-year was recorded at a low 0.21 times, indicating slower movement of stock relative to sales. This metric is considerably below typical industry benchmarks, suggesting potential inefficiencies in inventory management or subdued demand.

From a long-term perspective, the company’s net sales have shown a compound annual growth rate (CAGR) of -17.38% over the last five years, pointing to a contraction in top-line performance. Additionally, the company’s debt servicing capacity appears constrained, with a Debt to EBITDA ratio of -1.00 times, signalling elevated leverage relative to earnings before interest, taxes, depreciation, and amortisation.

Despite these challenges, Shekhawati Industries reports a return on equity (ROE) of 33.7%, which is relatively high and indicates efficient utilisation of shareholder funds. The stock’s price-to-book value stands at 3.8, suggesting a valuation discount compared to its peers’ historical averages within the Garments & Apparels sector.

Profitability trends over the past year reveal a fall in profits by 60.4%, which aligns with the stock’s negative price performance. The company has declared negative results for four consecutive quarters, reflecting ongoing financial strain.

Market capitalisation grading for Shekhawati Industries is at level 4, reflecting its micro-cap status within the Garments & Apparels sector. The company’s majority shareholding remains with promoters, maintaining concentrated ownership.

In comparison, the Sensex is trading above its 50-day moving average, which itself is positioned above the 200-day moving average, indicating a bullish trend for the broader market. This contrasts with Shekhawati Industries’ technical indicators, which remain subdued.

Overall, the stock’s movement to a 52-week low of Rs.18.7 on 19 Nov 2025 is a reflection of sustained financial pressures, weak sales growth, and profitability declines over recent quarters. The stock’s underperformance relative to the sector and market indices highlights the challenges faced by Shekhawati Industries in the current market environment.

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