Shree Tirupati Balajee Agro Trading Co. Ltd Falls to 52-Week Low of Rs.32

Stock Price Movement and Market Context

On 1 Feb 2026, the stock of Shree Tirupati Balajee Agro Trading Co. Ltd touched Rs.32, its lowest level in the past year and since listing. This represents a sharp fall from its 52-week high of Rs.69.5, reflecting a decline of over 53%. The stock’s day change was recorded at -0.92%, moving in line with the packaging sector’s overall performance. Despite a positive start to the day, the broader market saw a sharp reversal with the Sensex falling by 1,666.03 points (-1.88%) to trade at 80,722.94, indicating a challenging environment for equities.

The stock is currently trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained downward momentum. This technical positioning underscores the prevailing bearish sentiment surrounding the company’s shares.

Financial Performance and Profitability Trends

Shree Tirupati Balajee Agro Trading Co. Ltd’s financial metrics reveal a concerning trend over recent years. The company has experienced a negative compound annual growth rate (CAGR) of -9.29% in operating profits over the last five years, indicating a persistent contraction in core earnings. The latest nine-month period saw a net profit after tax (PAT) of Rs.12.89 crores, which has declined by 43.93% compared to previous periods.

Quarterly results have been negative for four consecutive quarters, with the operating profit before depreciation, interest, and taxes (PBDIT) reaching a low of Rs.6.17 crores in the most recent quarter. The operating profit to interest coverage ratio stands at a modest 1.17 times, highlighting limited capacity to comfortably service debt obligations.

Capital Efficiency and Valuation Metrics

The company’s return on equity (ROE) averages 6.33%, reflecting relatively low profitability generated per unit of shareholders’ funds. Return on capital employed (ROCE) is slightly higher at 6.7%, which, combined with an enterprise value to capital employed ratio of 0.9, suggests an attractive valuation from a capital utilisation perspective. However, these valuation metrics have not translated into positive stock performance.

Debt Profile and Shareholding

The company’s debt position remains a concern, with a high debt to EBITDA ratio of 5.05 times, indicating significant leverage relative to earnings before interest, taxes, depreciation, and amortisation. This elevated leverage ratio constrains financial flexibility and increases risk in a challenging operating environment.

Promoters remain the majority shareholders, maintaining control over the company’s strategic direction. Despite this, the stock’s performance has lagged considerably behind broader market indices and sector peers.

Comparative Performance and Market Benchmarks

Over the past year, Shree Tirupati Balajee Agro Trading Co. Ltd’s stock has declined by 51.35%, a stark contrast to the Sensex’s positive return of 5.16% during the same period. The stock has also underperformed the BSE500 index over the last three years, one year, and three months, underscoring persistent underperformance relative to the broader market.

Within the packaging sector, the stock’s decline is notable, especially as some indices such as NIFTY FMCG also hit 52-week lows on the same day, reflecting sectoral headwinds. The Sensex itself is trading below its 50-day moving average, although the 50-day average remains above the 200-day average, indicating mixed signals for the broader market trend.

Mojo Score and Ratings

Shree Tirupati Balajee Agro Trading Co. Ltd currently holds a Mojo Score of 12.0, categorised as a Strong Sell. This represents a downgrade from its previous Sell rating as of 25 Sep 2025. The Market Cap Grade is 4, reflecting a relatively modest market capitalisation within its sector.

The downgrade to Strong Sell is driven by the company’s weak long-term fundamental strength, deteriorating profitability, and high leverage. These factors have contributed to the stock’s sustained decline and its breach of key technical support levels.

Summary of Key Financial Indicators

The following metrics highlight the company’s recent financial performance:

• Operating Profit CAGR (5 years): -9.29%
• Debt to EBITDA Ratio: 5.05 times
• Return on Equity (average): 6.33%
• Return on Capital Employed: 6.7%
• Operating Profit to Interest Coverage (Quarterly): 1.17 times
• PBDIT (Quarterly): Rs.6.17 crores
• PAT (9 months): Rs.12.89 crores, down 43.93%
• 1 Year Stock Return: -51.35%
• Sensex 1 Year Return: +5.16%

These figures illustrate the challenges faced by the company in maintaining profitability and managing its financial obligations.

Sectoral and Market Environment

The packaging sector has experienced mixed performance, with some indices such as NIFTY FMCG also hitting 52-week lows on the same day. The broader market’s sharp reversal after a positive opening has added to the pressure on stocks like Shree Tirupati Balajee Agro Trading Co. Ltd.

While the Sensex remains below its 50-day moving average, the 50-day average is still above the 200-day average, suggesting that longer-term market trends remain cautiously optimistic despite short-term volatility.

Conclusion

Shree Tirupati Balajee Agro Trading Co. Ltd’s fall to Rs.32 marks a significant milestone in its recent stock price trajectory, reflecting a combination of weak financial performance, high leverage, and challenging market conditions. The stock’s underperformance relative to the Sensex and sector peers highlights ongoing difficulties in reversing its downward trend. The company’s valuation metrics suggest some capital efficiency, but these have not been sufficient to offset the impact of declining profits and elevated debt levels.

Investors and market participants will continue to monitor the company’s financial disclosures and market developments closely as the packaging sector navigates a complex environment.

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