Sri Adhikari Brothers Television Network Ltd Hits Lower Circuit Amid Heavy Selling Pressure

Intraday Price Action and Circuit Breaker Trigger

On 2 Feb 2026, SABTN’s shares plunged to an intraday low of ₹1,489.6, representing a maximum daily loss of 4.99%. This decline triggered the lower circuit price band of 5%, effectively halting further trading declines for the day. The stock closed at ₹1,581.1, down 13.2 points or 0.84% from the previous close, reflecting a volatile session with a 9.86% intraday price range. Despite opening with a gap down of nearly 5%, the stock managed to recover somewhat but remained under significant selling pressure throughout the day.

Volume and Liquidity Dynamics

Trading volumes were relatively muted, with total traded volume at approximately 14,144 shares (0.14144 lakhs) and turnover of ₹2.13 crore. Notably, the weighted average price was closer to the day’s low, indicating that most trades occurred near the bottom end of the price band. This suggests persistent bearish sentiment and a lack of strong buying interest to absorb the selling pressure. Furthermore, delivery volumes have plummeted by 98.93% compared to the five-day average, signalling falling investor participation and possibly increased short-term speculative activity rather than long-term accumulation.

Market Capitalisation and Sector Context

SABTN is classified as a small-cap stock with a market capitalisation of ₹3,992 crore, operating within the Media & Entertainment sector. The sector itself has been under pressure recently, with the stock’s 1-day return of 3.25% outperforming the sector’s negative return of -0.58% and the Sensex’s modest gain of 0.22%. However, SABTN’s recent price action contrasts with this relative outperformance, highlighting company-specific challenges that have unsettled investors.

Technical Indicators and Trend Analysis

From a technical perspective, SABTN’s share price remains above its 100-day and 200-day moving averages, which could be interpreted as a long-term support zone. However, it trades below its 5-day, 20-day, and 50-day moving averages, signalling short- to medium-term weakness. The stock had been on a six-day losing streak prior to today’s session, and although it showed some recovery, the lower circuit hit indicates that bearish momentum remains dominant. The combination of high volatility and falling delivery volumes suggests that the stock is currently in a precarious position, vulnerable to further downside if selling pressure persists.

Investor Sentiment and Panic Selling

The sharp fall to the lower circuit limit reflects panic selling among investors, likely driven by a combination of disappointing company-specific news, sector headwinds, or broader market volatility. The unfilled supply at lower price levels indicates that sellers overwhelmed buyers, pushing the stock down rapidly. Such episodes often trigger stop-loss orders and algorithmic selling, exacerbating downward pressure. The lack of significant buying interest at the lower circuit price suggests that confidence in the stock remains fragile.

Mojo Score and Analyst Ratings

SABTN currently holds a Mojo Score of 37.0, categorised as a ‘Sell’ grade, which was downgraded from a ‘Strong Sell’ on 4 Sep 2025. This rating reflects a cautious stance by analysts, factoring in the company’s recent financial performance, sector challenges, and technical weakness. The market cap grade of 3 further underscores the stock’s small-cap status and associated liquidity risks. Investors should weigh these ratings carefully when considering exposure to SABTN, especially given the recent volatility and circuit breaker event.

Outlook and Strategic Considerations

Looking ahead, the stock’s ability to stabilise above key moving averages and attract renewed buying interest will be critical to reversing the current downtrend. However, given the prevailing selling pressure and falling investor participation, a cautious approach is warranted. Market participants should monitor volume patterns, sector developments, and any corporate announcements closely. The media and entertainment sector’s evolving dynamics, including advertising revenue trends and content consumption shifts, will also influence SABTN’s near-term prospects.

Comparative Performance and Sector Positioning

Despite the recent setback, SABTN’s 1-day return of 3.25% outperformed the Media & Entertainment sector’s decline of 0.58% and the broader Sensex’s modest gain of 0.22%. This divergence suggests that while the sector faces headwinds, SABTN’s price movements are more influenced by company-specific factors. Investors should consider this when analysing the stock’s risk-reward profile relative to peers. The company’s small-cap status and liquidity constraints may also contribute to exaggerated price swings, necessitating careful position sizing and risk management.

Conclusion: Navigating Volatility and Risk

The lower circuit hit for Sri Adhikari Brothers Television Network Ltd on 2 Feb 2026 highlights the intense selling pressure and fragile investor sentiment surrounding the stock. With a maximum daily loss of nearly 5%, high intraday volatility, and falling delivery volumes, the stock currently faces significant headwinds. While technical support levels provide some cushion, the risk of further downside remains elevated unless buying interest returns decisively. Investors should remain vigilant, monitor evolving market conditions, and consider alternative investment opportunities within the sector or broader market to optimise portfolio performance.

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