Price Movement and Market Comparison
On 5 December 2025, Spencers Retail's share price closed at ₹42.36, establishing both a 52-week and all-time low. The stock recorded a daily decline of 2.76%, notably underperforming the Sensex, which registered a marginal fall of 0.03% on the same day. Over the past week, the stock has moved down by 8.24%, while the Sensex experienced a comparatively modest dip of 0.54%.
Examining longer time frames, Spencers Retail's one-month performance shows a reduction of 15.65%, contrasting with the Sensex's gain of 2.14%. The three-month period reveals a 28.00% decline for the stock, whereas the Sensex advanced by 5.61%. Over the last year, the stock has recorded a substantial decrease of 51.48%, while the Sensex rose by 4.25%. Year-to-date figures indicate a 47.81% fall for Spencers Retail, compared to a 9.09% increase in the Sensex.
Extending the horizon further, the stock's three-year performance shows a 38.87% decline, in stark contrast to the Sensex's 35.66% growth. Over five years, Spencers Retail's price has fallen by 46.42%, while the Sensex has surged by 89.09%. The ten-year performance for the stock remains flat at 0.00%, whereas the Sensex has appreciated by 232.48% during the same period.
Technical indicators also highlight the stock's subdued momentum, with Spencers Retail trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, signalling persistent downward pressure.
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Financial Health and Profitability Metrics
Spencers Retail's financial data over recent periods illustrates a challenging environment. The company reported net sales of ₹1,272.86 crores for the nine-month period, reflecting a contraction of 21.09%. Correspondingly, the net profit after tax (PAT) for the same period stood at a loss of ₹193.81 crores, also showing a decline of 21.09%.
Debt levels remain elevated, with the debt-to-equity ratio averaging 2.45 times, indicating a significant reliance on borrowed funds. The half-yearly debt-to-equity ratio was recorded at 2.16 times, underscoring the company's leveraged position. This financial structure contributes to the company's weak long-term fundamental strength, as reflected in its negative book value.
Operating profit trends over the past five years reveal a compounded annual rate of change at -350.95%, signalling a contraction in core earnings capacity. The company has also reported negative earnings before interest, taxes, depreciation, and amortisation (EBITDA), which adds to the concerns regarding its earnings quality and cash flow generation.
Stock Valuation and Relative Performance
Spencers Retail's stock is trading at levels considered risky when compared to its historical valuation averages. Over the past year, despite the stock generating a return of -51.48%, the company’s profits have shown a modest rise of 8.1%, indicating a disconnect between earnings and market valuation.
The stock's performance relative to broader market indices and sector benchmarks has been below par in both the short and long term. It has underperformed the BSE500 index over the last three years, one year, and three months, highlighting persistent challenges in regaining investor confidence and market traction.
Majority ownership remains with the promoters, maintaining control over the company’s strategic direction amid these financial headwinds.
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Summary of Key Challenges
The stock's all-time low price reflects a culmination of several factors including sustained declines in sales and profitability, high leverage, and valuation pressures. The negative book value and the contraction in operating profit over the last five years point to structural difficulties in the company’s financial health.
Despite some profit growth in the recent year, the stock’s market performance has not aligned with these earnings trends, suggesting investor caution. The consistent negative results over the last three quarters further illustrate the ongoing difficulties faced by Spencers Retail in stabilising its financial position.
Trading below all major moving averages, the stock remains under pressure, with its performance lagging behind both sector peers and broader market indices. This trend underscores the severity of the situation and the challenges the company faces in reversing its course.
Conclusion
Spencers Retail’s descent to an all-time low price of ₹42.36 marks a significant moment in its market journey. The data highlights a company grappling with financial strain, elevated debt levels, and subdued market sentiment. While the stock continues to trade below key technical benchmarks and has underperformed major indices over multiple time frames, the detailed financial metrics provide a comprehensive view of the challenges embedded in its current valuation and operational results.
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