Simplex Papers Surges to Upper Circuit Amidst Unprecedented Buying Interest

On 20 Nov 2025, Simplex Papers Ltd recorded a day change of 5.0%, significantly outperforming the Sensex, which showed a modest gain of 0.22%. The stock opened with a gap up at Rs 1857.8 and maintained this price throughout the trading session, touching an intraday high at the same level. This lack of price fluctuation during the day is indicative of a complete absence of sellers, with buy orders dominating the order book.

Over the past two days, Simplex Papers has delivered consecutive gains, accumulating a return of 10.25%. This recent price action contrasts with the broader sector and market indices, where the Sensex posted a 1.06% gain over the last week and 1.20% over the past month. Simplex Papers’ one-week and one-month performances stand at 15.75% and 16.08% respectively, underscoring the stock’s strong short-term momentum relative to its peers.

However, the stock’s longer-term performance presents a more nuanced picture. Over the last three months, Simplex Papers has recorded a 1.96% gain, which is below the Sensex’s 4.30% rise. The one-year and year-to-date returns remain negative at -31.19% and -19.03% respectively, while the Sensex has advanced 10.05% and 9.26% over the same periods. Over three years, the stock has declined by 25.54%, contrasting with the Sensex’s robust 38.46% growth. Despite these setbacks, Simplex Papers has demonstrated remarkable resilience over the longer term, with a five-year return of 2193.58% and a ten-year return of 519.27%, both substantially exceeding the Sensex’s respective 94.56% and 230.05% gains.

From a technical standpoint, Simplex Papers is trading above its 5-day, 20-day, 50-day, and 100-day moving averages, signalling short to medium-term strength. However, it remains below the 200-day moving average, suggesting that the longer-term trend may still be under pressure. The stock’s erratic trading pattern, with no trades on three of the last twenty days, adds an element of volatility to its profile, which investors should consider carefully.

The current upper circuit scenario, characterised by a complete absence of sellers and only buy orders in the queue, is a rare event in the Indian equity markets. This situation often arises when demand overwhelms supply, causing the stock price to hit the maximum permissible limit for the day. Such a scenario can persist for multiple days if buying interest remains unabated and no sellers emerge to absorb the demand.

Market participants should note that while the upper circuit reflects strong enthusiasm, it also implies limited liquidity for sellers, which can lead to price gaps and increased volatility when trading resumes at lower levels. Investors tracking Simplex Papers should monitor order book dynamics closely to gauge whether this buying interest sustains or if profit-taking emerges in subsequent sessions.

Simplex Papers operates within the Paper, Forest & Jute Products industry, a sector that has seen mixed performance amid fluctuating raw material costs and demand cycles. The stock’s recent surge may reflect renewed investor interest driven by sectoral developments or company-specific factors. However, the divergence between short-term gains and longer-term negative returns highlights the importance of a comprehensive analysis before making investment decisions.

In summary, Simplex Papers’ current upper circuit status with exclusive buy orders signals extraordinary buying interest and a potential multi-day circuit scenario. While this reflects strong short-term momentum, investors should weigh this against the stock’s historical volatility and longer-term performance trends. Monitoring moving averages and market breadth within the Paper, Forest & Jute Products sector will provide additional context for assessing the sustainability of this rally.

As always, a balanced approach that considers both technical signals and fundamental factors will be essential for investors looking to navigate the evolving landscape of Simplex Papers and its sector peers.

Limited Time Only! Subscribe for Rs. 12,999 and get 1 Year of MojoOne + an Additional Year Completely FREE. Don't miss out on this exclusive offer. Claim Your Free Year →