Stock Price Movement and Market Context
On 3 Feb 2026, Shiva Cement Ltd’s share price closed at Rs.18.81, down 1.35% on the day, underperforming its sector by 2.66%. The stock has been on a losing streak for two consecutive sessions, delivering a cumulative return of -4.29% over this period. This decline has pushed the stock below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained bearish momentum.
In contrast, the Cement & Cement Products sector gained 2.05% on the same day, while the broader Sensex index, despite a volatile session, ended with a 2.81% gain. The Sensex opened with a gap up of 3,656.74 points but later retraced by 1,363.37 points to close at 83,959.83, remaining 2.62% shy of its 52-week high of 86,159.02. Mega-cap stocks led the market rally, underscoring the divergence between large-cap and micro-cap performances.
Long-Term Price Performance and Relative Weakness
Over the past year, Shiva Cement Ltd’s stock has delivered a negative return of -48.15%, a stark contrast to the Sensex’s positive 8.76% gain during the same period. The stock’s 52-week high was Rs.42.74, indicating a steep decline of more than 55% from that peak. This persistent underperformance has been consistent over the last three years, with the stock lagging behind the BSE500 index in each annual period.
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Financial Metrics and Fundamental Assessment
Shiva Cement Ltd’s financial profile reflects significant challenges. The company carries a notably high debt burden, with a debt-to-equity ratio of 39.12 times, indicating a weak long-term fundamental strength. Despite a robust net sales growth rate of 70.65% annually over the last five years, operating profit growth has stagnated at 0%, highlighting limited improvement in profitability.
Profitability concerns are further underscored by a negative EBITDA, which places the stock in a risky valuation category relative to its historical averages. Over the past year, profits have declined by 46.9%, compounding the pressure on the stock price. The company’s market capitalisation grade stands at 4, reflecting its micro-cap status and associated liquidity considerations.
Shareholding and Market Participation
Domestic mutual funds hold no stake in Shiva Cement Ltd, a notable absence given their capacity for detailed fundamental research. This lack of institutional participation may reflect reservations about the company’s current valuation or business prospects. The stock’s Mojo Score is 17.0, with a Mojo Grade of Strong Sell, upgraded from Sell on 25 Aug 2025, signalling a deteriorated outlook from a fundamental and technical perspective.
Recent Quarterly Performance
Despite the overall negative trend, Shiva Cement Ltd reported its highest quarterly net sales of Rs.126.09 crores in the December 2025 quarter. This positive sales figure, however, has not translated into improved profitability or stock performance, as the company continues to face pressure on earnings and valuation metrics.
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Sector and Market Dynamics
The Cement & Cement Products sector has shown relative strength in recent sessions, with a 2.05% gain on the day Shiva Cement Ltd hit its 52-week low. This divergence highlights the company’s specific challenges amid a generally positive sector environment. The broader market’s mega-cap stocks have driven the Sensex’s gains, while smaller companies like Shiva Cement Ltd have struggled to keep pace.
Technical indicators reinforce the stock’s weak position, with prices trading below all major moving averages, signalling a lack of upward momentum. The stock’s consecutive declines and underperformance relative to both sector and benchmark indices underscore the ongoing pressures faced by the company.
Summary of Key Concerns
Shiva Cement Ltd’s stock has reached a critical low point at Rs.18.81, reflecting a combination of high leverage, subdued profitability growth, and negative earnings trends. The absence of institutional backing and consistent underperformance against benchmarks over multiple years further compound the stock’s challenges. While the company has reported record quarterly sales recently, this has yet to translate into improved financial health or market confidence.
Conclusion
The stock’s fall to a 52-week low amid a rising market and sector backdrop highlights the specific difficulties faced by Shiva Cement Ltd. Its financial metrics, including a high debt-to-equity ratio and negative EBITDA, alongside a Strong Sell Mojo Grade, illustrate the cautious stance reflected in its share price. The company’s recent sales performance offers some positive data points, but the overall picture remains one of sustained pressure on valuation and profitability.
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