Weizmann Ltd Stock Falls to 52-Week Low of Rs.81 Amidst Continued Downtrend

Stock Price Movement and Market Context

On 27 Jan 2026, Weizmann Ltd’s stock price slipped to Rs.81, the lowest level recorded in the past year. This decline comes after two consecutive days of losses, during which the stock has fallen by 5.37%. Today’s performance saw the stock underperform its sector by 1.21%, reflecting broader challenges within the Garments & Apparels industry. The stock is currently trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained downward momentum.

In contrast, the broader market showed resilience. The Sensex, after opening 100.91 points lower, rebounded by 181.73 points to close at 81,618.52, up 0.1%. Despite this, indices such as NIFTY MEDIA and NIFTY REALTY also hit new 52-week lows, indicating selective sectoral weakness. The Sensex remains below its 50-day moving average, though the 50DMA is positioned above the 200DMA, suggesting a mixed technical backdrop. Mega cap stocks led the market gains, while mid and small caps, including Weizmann Ltd, faced pressure.

Long-Term Performance and Valuation Metrics

Weizmann Ltd’s one-year performance has been notably weak, with the stock delivering a negative return of 35.94%, starkly contrasting with the Sensex’s positive 8.29% gain over the same period. The stock’s 52-week high was Rs.142, underscoring the extent of the recent decline. Over the last five years, the company’s net sales have grown at a modest annual rate of 9.40%, while operating profit has increased at 14.78% annually. These growth rates are below expectations for sustained expansion in the garments and apparels sector.

Furthermore, the stock has underperformed the BSE500 index across multiple time frames, including the last three years, one year, and three months, reflecting persistent challenges in generating shareholder value. The company’s return on equity (ROE) stands at -5.5%, indicating a negative return on shareholder capital. Despite this, the stock trades at a price-to-book value of 2, which is considered fair but suggests limited upside relative to peers.

Financial Health and Recent Results

Despite the stock’s price weakness, Weizmann Ltd maintains a strong ability to service its debt, with a low Debt to EBITDA ratio of 0.58 times. This indicates manageable leverage and a relatively stable financial position. The company’s operating cash flow for the fiscal year reached a peak of Rs.13.68 crores, reflecting positive cash generation capabilities.

Recent half-yearly results show net sales of Rs.65.87 crores, growing at 25.66%, and a profit after tax (PAT) of Rs.3.19 crores, which is higher compared to previous periods. However, over the past year, profits have declined sharply by 147.6%, highlighting volatility in earnings despite revenue growth.

The majority shareholding remains with promoters, providing a stable ownership structure. Market cap grading assigns Weizmann Ltd a score of 4, while its overall Mojo Score stands at 40.0, with a Mojo Grade of Sell, downgraded from Hold on 29 Jul 2025. These ratings reflect cautious sentiment based on the company’s recent performance and outlook.

Summary of Key Concerns

The stock’s decline to Rs.81, its 52-week low, is a culmination of several factors. The underwhelming long-term growth rates in net sales and operating profit have weighed on investor confidence. The negative ROE and significant profit contraction over the past year further compound concerns about the company’s ability to generate consistent returns. Additionally, the stock’s persistent underperformance relative to the BSE500 and sector peers highlights challenges in maintaining competitive positioning.

Trading below all major moving averages signals continued bearish sentiment in the near term. While the company’s debt metrics and recent cash flow figures provide some financial stability, these have not translated into positive momentum in the share price. The downgrade in Mojo Grade to Sell underscores the cautious stance adopted by market analysts.

Market and Sector Dynamics

The Garments & Apparels sector has faced headwinds, as reflected by the underperformance of related indices and stocks hitting new lows. While the broader market, led by mega caps, has shown resilience, mid and small cap stocks like Weizmann Ltd have struggled to keep pace. This divergence suggests sector-specific pressures and selective investor preference for larger, more diversified companies.

Overall, the stock’s current valuation at a discount to peers’ historical averages indicates market scepticism about near-term prospects. The gap between revenue growth and profit decline points to margin pressures or cost-related issues impacting profitability.

Conclusion

Weizmann Ltd’s fall to a 52-week low of Rs.81 marks a significant point in its recent trading history, reflecting a combination of subdued growth, earnings volatility, and sectoral challenges. The stock’s technical and fundamental indicators suggest a cautious environment, with the company’s financial metrics providing some stability amid the decline. Investors and market participants will continue to monitor the company’s performance against sector trends and broader market movements.

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