Recent Price Movement and Market Context
On 16 Feb 2026, Shradha AI Technologies Ltd’s share price touched an intraday low of Rs.26.76, representing a 6.82% drop during the trading session. The stock closed with a day change of -5.29%, underperforming its sector by 3.88%. This marks the third consecutive day of decline, with cumulative returns falling by 9.81% over this period. The current price is substantially below the stock’s 52-week high of Rs.52, indicating a near 48.5% depreciation from its peak.
In contrast, the broader market showed resilience. The Sensex, after a negative start, rebounded sharply by 420.57 points to close at 82,900.97, up 0.33% on the day. The index remains within 3.93% of its 52-week high of 86,159.02, supported by gains in mega-cap stocks. While the Sensex trades below its 50-day moving average, the 50DMA remains above the 200DMA, signalling a cautiously positive medium-term trend.
Technical Indicators and Moving Averages
Technically, Shradha AI Technologies Ltd is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This broad weakness across short, medium, and long-term technical indicators suggests sustained downward momentum. The stock’s inability to hold above these averages highlights the challenges it faces in regaining investor confidence and price stability.
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Financial Performance and Profitability Trends
The company’s quarterly financials reveal notable declines in profitability. The latest reported Profit After Tax (PAT) stands at Rs.1.47 crore, down 48.1% compared to the previous four-quarter average. Similarly, the Profit Before Depreciation, Interest and Taxes (PBDIT) reached a low of Rs.1.42 crore, reflecting subdued earnings quality. Operating profit to net sales ratio has dropped to 0.00% in the most recent quarter, indicating minimal operating margin contribution.
Despite these near-term setbacks, Shradha AI Technologies Ltd maintains a Return on Equity (ROE) of 14.6%, which is respectable within its sector. However, the stock’s valuation remains elevated with a Price to Book (P/B) ratio of 2.2, suggesting that the market prices in expectations not currently supported by recent earnings trends. The PEG ratio of 3.2 further indicates that the stock’s price growth is outpacing its earnings growth, which has risen by 5.6% over the past year.
Long-Term Performance and Comparative Analysis
Over the last year, Shradha AI Technologies Ltd has delivered a total return of -40.39%, significantly lagging the Sensex’s positive 9.20% return over the same period. The stock has also underperformed the BSE500 index across multiple time frames, including the last three years, one year, and three months. This underperformance highlights persistent challenges in maintaining competitive growth and market positioning.
On a positive note, the company has demonstrated healthy long-term growth in operating profit, expanding at an annualised rate of 41.28%. This suggests that while recent quarters have been difficult, the underlying business has shown capacity for expansion over a longer horizon.
Capital Structure and Shareholding
Shradha AI Technologies Ltd maintains a conservative capital structure with an average Debt to Equity ratio of zero, indicating no reliance on debt financing. This low leverage reduces financial risk and interest burden, which can be advantageous during periods of earnings pressure.
The majority shareholding is held by promoters, reflecting concentrated ownership. This can influence strategic decisions and long-term planning, though it also means that liquidity and free float may be limited.
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Mojo Score and Market Sentiment
The company’s Mojo Score currently stands at 21.0, with a Mojo Grade of Strong Sell as of 12 Nov 2025, downgraded from a Sell rating. This reflects a cautious market stance based on a comprehensive assessment of fundamentals, valuation, and momentum. The Market Cap Grade is rated 4, indicating a relatively modest market capitalisation within its sector.
These ratings underscore the challenges faced by Shradha AI Technologies Ltd in reversing its recent price decline and improving investor perception.
Summary of Key Metrics
To summarise, the stock’s key data points include:
- New 52-week low price: Rs.26.76
- 52-week high price: Rs.52.00
- One-year return: -40.39%
- Latest quarterly PAT: Rs.1.47 crore (-48.1%)
- Latest quarterly PBDIT: Rs.1.42 crore (lowest)
- Operating profit to net sales ratio: 0.00%
- ROE: 14.6%
- Price to Book Value: 2.2
- PEG ratio: 3.2
- Debt to Equity ratio: 0.0
- Mojo Score: 21.0 (Strong Sell)
Conclusion
Shradha AI Technologies Ltd’s recent decline to a 52-week low of Rs.26.76 reflects a combination of subdued quarterly earnings, valuation pressures, and technical weakness. While the company has demonstrated long-term operating profit growth and maintains a debt-free balance sheet, near-term financial results and market sentiment have weighed on the stock’s performance. The downgrade to a Strong Sell rating by MarketsMOJO further highlights the cautious outlook prevailing among market analysts.
Investors monitoring the stock will note the significant gap between current prices and the 52-week high, as well as the underperformance relative to key indices and sector peers. The stock’s trading below all major moving averages signals continued downward momentum in the short term.
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