Stock Price Movement and Market Context
The stock of T T Ltd has been on a declining trajectory, falling by 1.57% today and underperforming its sector by 1.65%. This marks the second consecutive day of losses, with the stock delivering a cumulative negative return of approximately 4% over this period. The current price of Rs.8.02 represents a new 52-week low, down sharply from its 52-week high of Rs.17, reflecting a near 53% drop over the past year.
Technical indicators further highlight the bearish trend, with T T Ltd trading below all key moving averages including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This sustained weakness contrasts with the broader market, where the Sensex opened lower at 84,620.40, down 0.52%, but has since recovered slightly to trade at 84,961.14, just 1.41% shy of its 52-week high of 86,159.02. The Sensex remains supported by bullish moving averages, with the 50-day DMA above the 200-day DMA, and mid-cap stocks leading gains with a 0.47% rise in the BSE Mid Cap index.
Financial Performance and Fundamental Concerns
T T Ltd’s financial metrics reveal ongoing challenges that have contributed to the stock’s decline. Over the last five years, the company has experienced a negative compound annual growth rate (CAGR) of -19.43% in operating profits, indicating a sustained contraction in core earnings. This weak long-term profitability is further underscored by an average Return on Capital Employed (ROCE) of just 6.92%, signalling limited efficiency in generating returns from its capital base.
Debt metrics also raise concerns, with a high Debt to EBITDA ratio of 8.37 times, reflecting significant leverage and limited capacity to service debt obligations comfortably. The company’s debt-to-equity ratio stood at 2.60 times as of the half-year mark, the highest recorded level, indicating a capital structure heavily reliant on borrowed funds.
Recent quarterly results have been subdued, with net sales at Rs.45.67 crores, the lowest in recent periods, and operating cash flow for the fiscal year at a minimal Rs.0.31 crore. These figures highlight the constrained cash generation ability of the business, which may impact its operational flexibility.
Transformation in full progress! This Micro Cap from Auto Ancillary just achieved sustainable profitability after tough times. Be early to witness this powerful comeback story!
- - Sustainable profitability reached
- - Post-turnaround strength
- - Comeback story unfolding
Comparative Performance and Market Position
Over the past year, T T Ltd has delivered a negative return of -45.09%, significantly underperforming the Sensex, which posted a positive return of 8.65% over the same period. The stock has also lagged behind the broader BSE500 index across multiple time frames, including the last three years, one year, and three months, indicating persistent underperformance relative to the market and its peers.
Valuation metrics suggest the stock is trading at a discount compared to its peers’ historical averages. The company’s ROCE of 3.6% and an enterprise value to capital employed ratio of 1.4 indicate a fair valuation level, albeit reflective of the subdued profitability and growth prospects. The majority shareholding remains with non-institutional investors, which may influence liquidity and trading dynamics.
Is T T Ltd your best bet? SwitchER suggests better alternatives across peers, market caps, and sectors. Discover stocks that could deliver more for your portfolio!
- - Better alternatives suggested
- - Cross-sector comparison
- - Portfolio optimization tool
Mojo Score and Ratings Update
Reflecting the company’s financial and market challenges, T T Ltd’s Mojo Score currently stands at 20.0, with a Mojo Grade of Strong Sell. This represents a downgrade from its previous Sell rating as of 01 Aug 2025. The Market Cap Grade is rated at 4, indicating a relatively modest market capitalisation within its sector. These ratings encapsulate the stock’s weak fundamentals, high leverage, and sustained price decline.
Despite the difficult backdrop, the stock’s valuation discount relative to peers may be a factor for consideration in the context of sector dynamics and broader market conditions. However, the company’s financial metrics and recent performance trends underscore the challenges it faces in reversing the current downtrend.
Summary of Key Metrics
To summarise, T T Ltd’s key financial and market indicators as of 07 Jan 2026 are:
- New 52-week low price: Rs.8.02
- 52-week high price: Rs.17.00
- One-year stock return: -45.09%
- Operating profit CAGR (5 years): -19.43%
- Debt to EBITDA ratio: 8.37 times
- Debt to equity ratio (HY): 2.60 times
- Return on Capital Employed (avg): 6.92%
- Operating cash flow (FY): Rs.0.31 crore
- Net sales (Q): Rs.45.67 crore
- Mojo Score: 20.0 (Strong Sell)
- Market Cap Grade: 4
The stock’s recent price action and fundamental indicators reflect a continuation of the challenges faced by T T Ltd in the Garments & Apparels sector, with the new 52-week low underscoring the prevailing market sentiment and performance pressures.
Unlock special upgrade rates for a limited period. Start Saving Now →
