Recent Price Movement and Market Context
On 16 Feb 2026, Universal Cables closed at ₹688.00, down 1.69% from the previous close of ₹699.85. The intraday range was relatively tight, with a low of ₹680.25 and a high of ₹700.75, indicating limited volatility. The stock remains well below its 52-week high of ₹1,007.00 but comfortably above its 52-week low of ₹408.10, reflecting a wide trading band over the past year.
Comparatively, Universal Cables has underperformed the Sensex in the short term, with a one-week return of -9.18% versus the Sensex’s -1.14%, and a one-month return of -14.54% against the Sensex’s -1.20%. Year-to-date, the stock has declined 22.50%, significantly lagging the Sensex’s modest 3.04% fall. However, over longer horizons, Universal Cables has delivered robust gains, with a 1-year return of 24.41% compared to the Sensex’s 8.52%, a 3-year return of 126.88% versus 36.73%, and a remarkable 10-year return of 875.19% against the Sensex’s 259.46%.
Technical Indicator Analysis: Mixed Signals
The technical landscape for Universal Cables is nuanced, with several indicators presenting conflicting signals across different timeframes. The weekly Moving Average Convergence Divergence (MACD) has turned mildly bearish, suggesting waning upward momentum in the near term. Conversely, the monthly MACD remains bullish, indicating that the longer-term trend retains some strength.
The Relative Strength Index (RSI) offers no clear signal on either the weekly or monthly charts, hovering in neutral territory. This lack of directional momentum in RSI suggests the stock is neither overbought nor oversold, reinforcing the sideways trend observed in price action.
Bollinger Bands on both weekly and monthly timeframes are bearish, signalling increased volatility with a downward bias. This is consistent with the recent price declines and the stock’s failure to sustain levels near its recent highs.
Daily moving averages provide a mildly bullish outlook, with short-term averages slightly above longer-term averages, hinting at potential support around current price levels. However, this is tempered by the weekly and monthly KST (Know Sure Thing) indicators, which are mildly bearish, reflecting weakening momentum across intermediate and longer-term periods.
Dow Theory assessments add further complexity: the weekly trend is mildly bullish, but the monthly trend shows no clear direction, underscoring the sideways consolidation phase. On-Balance Volume (OBV) readings are mildly bearish on both weekly and monthly charts, indicating that volume trends are not supporting price advances.
Only 1% make it here. This Large Cap from the Gems, Jewellery And Watches sector passed our rigorous filters with flying colors. Be among the first few to spot this gem!
- - Highest rated stock selection
- - Multi-parameter screening cleared
- - Large Cap quality pick
Mojo Score and Rating Implications
MarketsMOJO’s latest assessment downgraded Universal Cables from a Hold to a Sell rating on 13 Feb 2026, reflecting the deteriorating technical outlook and recent price weakness. The company’s Mojo Score stands at 40.0, which is relatively low and consistent with the Sell grade. The Market Cap Grade is 3, indicating a mid-tier market capitalisation relative to peers in the cables electricals sector.
This downgrade signals caution for investors, especially given the stock’s recent underperformance relative to the broader market and the mixed technical signals. The downgrade also suggests that the stock may face headwinds in the near term, despite its strong long-term fundamentals and historical returns.
Long-Term Performance Versus Sector Benchmarks
Despite recent technical challenges, Universal Cables’ long-term performance remains impressive. Over the past five years, the stock has surged nearly 396%, vastly outperforming the Sensex’s 60.30% gain. Over a decade, the stock’s return of 875.19% dwarfs the Sensex’s 259.46%, underscoring the company’s ability to generate substantial shareholder value over extended periods.
These returns highlight the company’s strong operational footing within the cables electricals industry, supported by steady demand growth and strategic positioning. However, the current sideways technical trend and bearish weekly indicators suggest that investors should monitor momentum closely before committing fresh capital.
Price Momentum and Moving Averages
The daily moving averages indicate a mildly bullish short-term momentum, with the 20-day moving average hovering just below the current price of ₹688.00, providing tentative support. However, the 50-day and 200-day moving averages remain relatively flat, reflecting the sideways consolidation phase. This pattern suggests that while short-term dips may find buyers, a sustained breakout above the 52-week high of ₹1,007.00 is necessary to confirm a renewed bullish trend.
Conversely, failure to hold the current support zone near ₹680 could trigger further downside, especially given the bearish weekly Bollinger Bands and MACD signals. Investors should watch for confirmation from volume indicators such as OBV, which currently signals mild selling pressure.
Considering Universal Cables Ltd.? Wait! SwitchER has found potentially better options in Cables - Electricals and beyond. Compare this small-cap with top-rated alternatives now!
- - Better options discovered
- - Cables - Electricals + beyond scope
- - Top-rated alternatives ready
Investor Takeaway and Outlook
Universal Cables Ltd. currently presents a complex technical picture. The shift from mildly bullish to sideways momentum, combined with bearish weekly MACD and Bollinger Bands, suggests that the stock may face near-term pressure. The absence of clear RSI signals and the mildly bullish daily moving averages indicate that the stock is consolidating rather than trending decisively.
Investors should weigh the recent downgrade to Sell and the low Mojo Score against the company’s strong long-term returns and sector positioning. Those with a longer investment horizon may view current levels as a consolidation phase before a potential rebound, while short-term traders might prefer to await clearer technical confirmation before entering new positions.
Monitoring key support near ₹680 and resistance around ₹700 to ₹710 will be critical in the coming weeks. A decisive move above the 52-week high of ₹1,007.00 would signal a return to bullish momentum, while a breakdown below recent lows could accelerate selling pressure.
Given the mixed signals, a cautious approach is advisable, with close attention to volume trends and broader market conditions within the cables electricals sector.
Unlock special upgrade rates for a limited period. Start Saving Now →
