Team Lease Services Stock Falls to 52-Week Low of Rs.1635.05

Stock Price Movement and Market Context

On 24 Nov 2025, Team Lease Services recorded its lowest price in the past year at Rs.1635.05. Despite this, the stock showed some resilience by gaining after two consecutive days of decline. Intraday, the share price reached a high of Rs.1873, representing a 12.85% rise from the low point during the session. However, the closing price remained near the 52-week low, indicating persistent downward pressure.

The stock’s current trading levels are below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This suggests a sustained bearish trend over multiple time horizons. In comparison, the broader market index, Sensex, experienced a volatile session, opening 88.12 points higher but eventually declining by 419.33 points to close at 84,900.71, down 0.39%. The Sensex remains close to its 52-week high, trading just 1.06% below the peak of 85,801.70, and is supported by bullish moving averages.

Performance Relative to Benchmarks

Over the past year, Team Lease Services has underperformed significantly against the Sensex benchmark. The stock’s return stands at -38.71%, while the Sensex has recorded a positive return of 7.31% during the same period. This underperformance extends beyond the last year, with the stock trailing the BSE500 index in each of the previous three annual periods. Such a trend highlights challenges in maintaining competitive growth within its sector.

Financial Metrics and Growth Trends

Team Lease Services’ long-term growth, as measured by operating profit, has shown an annual rate of 9.17% over the last five years. While this indicates some expansion, it is modest relative to sector peers and broader market expectations. The company’s operating cash flow for the most recent fiscal year was recorded at Rs.104.38 crores, marking the lowest level in recent periods.

Despite the subdued growth in operating profit and cash flow, the company’s return on equity (ROE) stands at 12.2%, reflecting a reasonable level of profitability relative to shareholder equity. The stock’s price-to-book value ratio is 2.9, suggesting that the market valuation is in line with its book value and comparable to historical averages within the sector.

Profit figures have shown a rise of 16.8% over the past year, which contrasts with the negative stock price performance. The company’s PEG ratio is 1.4, indicating the relationship between price, earnings, and growth is moderate.

Balance Sheet and Institutional Holding

Team Lease Services maintains a low average debt-to-equity ratio of zero, signalling a conservative approach to leverage and financial risk. This low indebtedness may provide some stability amid market fluctuations.

Institutional investors hold a significant portion of the company’s shares, with 57.4% ownership. Such holdings often reflect thorough fundamental analysis and a longer-term perspective on the company’s prospects.

Sector and Industry Overview

Operating within the diversified commercial services sector, Team Lease Services faces competition from a range of companies offering staffing, recruitment, and related services. The sector itself has experienced mixed performance, with some companies benefiting from economic recovery and others facing headwinds due to changing labour market dynamics.

The company’s stock price has moved from a 52-week high of Rs.3100.20 to the current low of Rs.1635.05, reflecting a decline of nearly 47%. This wide range underscores the volatility experienced by the stock over the past year.

Summary of Recent Market Activity

Today’s trading session saw Team Lease Services outperform its sector by 2.19%, despite the overall market weakness. This intraday strength, however, was insufficient to lift the stock above its key moving averages or reverse the longer-term downtrend.

The broader market’s mixed performance, with the Sensex retreating after an initial positive opening, highlights the cautious sentiment prevailing among investors. While the Sensex remains supported by its moving averages, Team Lease Services continues to trade below these technical levels.

Conclusion

Team Lease Services’ fall to a 52-week low of Rs.1635.05 marks a notable point in its recent market journey. The stock’s performance over the past year has lagged behind major benchmarks, with financial metrics indicating modest growth and profitability. The company’s conservative debt position and significant institutional ownership provide some context to its valuation and market standing. However, the persistent trading below key moving averages and the decline from its 52-week high reflect ongoing challenges within the stock’s price action.

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