Weizmann Ltd Stock Falls to 52-Week Low Amidst Prolonged Underperformance

Recent Price Movement and Market Context

On 2 Feb 2026, Weizmann Ltd’s stock recorded a day change of -1.23%, marginally outperforming its sector by 0.46%. Despite this relative outperformance, the stock remains below several key moving averages, including the 20-day, 50-day, 100-day, and 200-day averages, though it is trading above the 5-day moving average. This positioning indicates short-term support but sustained pressure in the medium to long term.

The broader market environment saw the Sensex recover sharply after a negative opening, closing at 81,460.15 points, up 0.91% for the day. Mega-cap stocks led this rally, while the Sensex itself remains below its 50-day moving average, signalling cautious optimism among investors. Against this backdrop, Weizmann Ltd’s performance contrasts sharply with the market’s upward momentum.

Long-Term Performance and Valuation Metrics

Over the past year, Weizmann Ltd’s stock has declined by 36.00%, a stark contrast to the Sensex’s 5.10% gain over the same period. The stock’s 52-week high stands at Rs 133.80, underscoring the extent of the recent decline. This underperformance extends beyond the last year, with the company lagging behind the BSE500 index over the last three years, one year, and three months.

Financially, the company has exhibited modest growth in net sales, with a compound annual growth rate of 9.40% over the last five years. Operating profit has grown at a slightly higher rate of 14.78% annually during the same period. However, these figures have not translated into positive returns for shareholders, as reflected in the stock’s current valuation and price trends.

Profitability and Cash Flow Trends

Despite the stock’s price decline, Weizmann Ltd has demonstrated some positive financial indicators in recent periods. The company reported its highest operating cash flow in the latest fiscal year at Rs 13.68 crores. Net sales for the latest six months reached Rs 65.87 crores, reflecting a growth rate of 25.66% compared to previous periods. Additionally, profit after tax (PAT) for the same period improved to Rs 3.19 crores.

However, these gains have not been sufficient to offset the broader decline in profitability. Over the past year, the company’s profits have fallen by 147.6%, contributing to a negative return on equity (ROE) of -5.5%. The stock currently trades at a price-to-book value of 2, indicating a fair valuation but at a discount relative to its peers’ historical averages.

Debt and Shareholding Structure

Weizmann Ltd maintains a strong ability to service its debt, with a low Debt to EBITDA ratio of 0.58 times. This conservative leverage position provides some financial stability amid the stock’s price pressures. The majority shareholding remains with the company’s promoters, reflecting concentrated ownership.

Sector and Industry Positioning

Operating within the Garments & Apparels sector, Weizmann Ltd faces a competitive landscape where growth and profitability metrics are critical. The company’s modest sales growth and subdued profit margins have contributed to its current market valuation and stock price performance. Compared to sector peers, Weizmann Ltd’s valuation metrics suggest a discount, which may reflect investor caution given the recent financial trends.

While the broader market, as indicated by the Sensex, has shown resilience and gains, Weizmann Ltd’s stock has not mirrored this positive momentum. The divergence highlights the challenges faced by the company in aligning its financial performance with market expectations.

Summary of Key Financial Metrics

To encapsulate, the stock’s 52-week low of Rs 79.12 is a reflection of several factors:

• One-year stock return of -36.00% versus Sensex’s 5.10% gain
• Net sales growth at 9.40% CAGR over five years
• Operating profit growth at 14.78% CAGR over five years
• Profit decline of 147.6% over the past year
• Negative ROE of -5.5%
• Debt to EBITDA ratio of 0.58 times indicating manageable leverage
• Price-to-book value of 2, trading at a discount to peers

These metrics collectively illustrate the stock’s current valuation and price behaviour within the context of its financial performance and sector dynamics.

Conclusion

Weizmann Ltd’s recent fall to a 52-week low underscores a period of subdued returns and valuation pressures despite some positive cash flow and sales growth indicators. The stock’s performance contrasts with broader market gains and reflects ongoing challenges in profitability and investor sentiment. The company’s conservative debt position and promoter ownership remain notable features amid this landscape.

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