Shekhawati Industries Falls to 52-Week Low of Rs.18 Amidst Prolonged Downtrend

Nov 21 2025 09:59 AM IST
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Shekhawati Industries has reached a new 52-week low of Rs.18, marking a significant decline in its stock price amid a sustained downward trend over recent sessions. The stock has underperformed its sector and broader market indices, reflecting ongoing pressures within the company’s financial and operational metrics.



Recent Price Movement and Market Context


On 21 Nov 2025, Shekhawati Industries’ share price touched Rs.18, the lowest level recorded in the past year. This price point comes after three consecutive sessions of decline, during which the stock has recorded a cumulative return of -7.64%. The day’s performance showed a further dip of -1.58%, underperforming the Garments & Apparels sector by -1.62%.


In contrast, the broader market, represented by the Sensex, opened lower at 85,347.40 points, down by 285.28 points or -0.33%, and was trading near 85,370.95 points at the time of reporting. The Sensex remains close to its 52-week high of 85,801.70, maintaining a positive trajectory supported by bullish moving averages, with the 50-day moving average above the 200-day moving average.



Technical Indicators Signal Continued Weakness


Shekhawati Industries is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This technical positioning indicates sustained selling pressure and a lack of short-term momentum. The stock’s 52-week high was Rs.41.09, highlighting the extent of the decline over the past year.




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Financial Performance Over the Past Year


Shekhawati Industries has recorded a one-year return of -56.05%, significantly lagging behind the Sensex’s 10.65% return and the BSE500’s 8.93% gain over the same period. This underperformance is mirrored in the company’s financial results, which have shown contraction in key metrics.


Net sales for the latest six months stand at Rs.6.00 crore, reflecting a decline of -82.55% compared to previous periods. Profit after tax (PAT) for the nine months is Rs.4.52 crore, down by -64.87%. The inventory turnover ratio for the half-year is notably low at 0.21 times, indicating slower movement of stock relative to sales.



Long-Term Growth and Debt Metrics


Over the last five years, the company’s net sales have shown a compound annual growth rate (CAGR) of -17.38%, pointing to a contraction in revenue generation. The company’s ability to service debt is constrained, with a Debt to EBITDA ratio of -1.00 times, suggesting elevated leverage relative to earnings before interest, tax, depreciation, and amortisation.


Shekhawati Industries has reported negative results for four consecutive quarters, underscoring persistent challenges in maintaining profitability and operational efficiency.



Valuation and Shareholder Structure


Despite the financial headwinds, the company’s return on equity (ROE) stands at 33.7%, which is relatively high. The stock is trading at a price-to-book value of 3.5, indicating a valuation discount compared to its peers’ historical averages. Majority ownership remains with promoters, maintaining control over corporate decisions.




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Comparative Market Performance


While the BSE500 index has generated returns of 8.93% over the past year, Shekhawati Industries’ stock has delivered negative returns of -56.05%. This divergence highlights the stock’s relative weakness within the Garments & Apparels sector and the broader market.


Profitability has also been affected, with profits falling by -60.4% over the last year, reinforcing the challenges faced by the company in maintaining earnings growth.



Summary of Key Concerns


The stock’s fall to Rs.18, its 52-week low, reflects a combination of subdued sales growth, declining profitability, and elevated leverage. The persistent negative quarterly results and low inventory turnover ratio further illustrate the difficulties in operational performance. Trading below all major moving averages, the stock remains under pressure in the near term.



Market Environment and Sector Context


The Garments & Apparels sector has experienced mixed performance, with some peers maintaining steadier valuations. Shekhawati Industries’ relative underperformance against sector benchmarks and the Sensex indicates company-specific factors influencing its stock price trajectory.



Conclusion


Shekhawati Industries’ stock reaching a 52-week low of Rs.18 marks a significant milestone in its recent price movement, underscored by weak financial results and technical indicators. The stock’s performance over the past year contrasts sharply with broader market gains, reflecting ongoing challenges within the company’s financial and operational framework.






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