Recent Price Movement and Market Context
The stock price of Zodiac Ventures Ltd fell by 3.57% on 29 Jan 2026, closing at Rs.1.61, its lowest level in the past year. This decline extends a four-day losing streak during which the stock has shed approximately 14.29% of its value. In comparison, the Commercial Services & Supplies sector outperformed Zodiac Ventures by 4.19% on the same day. The broader market also faced pressure, with the Sensex dropping 0.77% to 81,710.49 points after a flat opening. Notably, while some indices such as NIFTY METAL and NIFTY PSU BANK reached new 52-week highs, Zodiac Ventures continued its slide.
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 a persistent bearish momentum. This technical positioning underscores the challenges the stock faces in regaining upward traction.
Rising fast and still accelerating! This Small Cap from FMCG sector is riding pure momentum right now. Jump in before the rally reaches its peak!
- - Accelerating price action
- - Pure momentum play
- - Pre-peak entry opportunity
Financial Performance and Valuation Metrics
Zodiac Ventures Ltd’s financial indicators reveal a challenging environment. The company reported flat quarterly results in September 2025, with PBDIT at a low Rs.0.64 crore and PBT less other income at Rs.0.11 crore. Earnings per share (EPS) for the quarter stood at Rs.0.04, marking the lowest levels in recent periods. Over the past five years, the company’s operating profits have declined at a compound annual growth rate (CAGR) of -2.83%, reflecting subdued earnings growth.
Despite the weak profit growth, the company’s profits have risen by 85% over the past year, a figure that contrasts sharply with the stock’s 87.55% negative return during the same period. This divergence is reflected in a low PEG ratio of 0.1, indicating that the stock price has not kept pace with earnings growth.
From a valuation standpoint, Zodiac Ventures Ltd carries a very expensive profile relative to its capital employed, with an enterprise value to capital employed ratio of just 0.5. The return on capital employed (ROCE) is modest at 5.7%, which, combined with a high debt burden—evidenced by a Debt to EBITDA ratio of 3.67 times—raises concerns about the company’s ability to service its liabilities effectively.
On a positive note, the stock offers a high dividend yield of 5.95% at the current price level, which may appeal to income-focused investors despite the broader challenges.
Comparative Performance and Market Position
Over the last three years, Zodiac Ventures Ltd has consistently underperformed the benchmark indices. Its one-year return of -87.55% starkly contrasts with the Sensex’s positive 6.83% gain. The stock has also lagged behind the BSE500 index in each of the past three annual periods, underscoring persistent relative weakness.
The company’s 52-week high was Rs.14.80, highlighting the steep decline to the current low of Rs.1.61. This represents a drop of nearly 89% from its peak price within the last year.
Majority shareholding remains with non-institutional investors, which may influence liquidity and trading dynamics in the stock.
Holding Zodiac Ventures Ltd from Commercial Services & Supplies? See if there's a smarter choice! SwitchER compares it with peers and suggests superior options across market caps and sectors!
- - Peer comparison ready
- - Superior options identified
- - Cross market-cap analysis
Mojo Score and Analyst Ratings
Zodiac Ventures Ltd currently holds a Mojo Score of 16.0, categorised as a Strong Sell. This rating was assigned on 17 Feb 2025, marking a downgrade from a previously ungraded status. The company’s market capitalisation grade stands at 4, reflecting its relatively modest size within the sector.
The Strong Sell grade aligns with the company’s weak long-term fundamentals, high leverage, and consistent underperformance relative to peers and benchmarks.
Summary of Key Concerns
The stock’s decline to a 52-week low is underpinned by several factors: subdued profit growth over the medium term, a high debt load relative to earnings, and valuation metrics that suggest the company is expensive relative to its capital base. The persistent underperformance against the Sensex and sector indices further highlights the challenges faced by Zodiac Ventures Ltd in regaining investor confidence.
While the stock’s high dividend yield offers some income appeal, the broader financial and market indicators point to a cautious outlook for the company’s equity performance.
Market Environment
The broader market environment on 29 Jan 2026 was mixed, with the Sensex declining by 0.77% and trading below its 50-day moving average. However, several sectoral indices, including NIFTY METAL and NIFTY PSU BANK, reached new 52-week highs, indicating selective strength in other areas of the market.
In contrast, Zodiac Ventures Ltd’s continued slide highlights its divergence from prevailing market trends and sectoral momentum.
Conclusion
Zodiac Ventures Ltd’s fall to Rs.1.61, its lowest price in 52 weeks, reflects a combination of weak financial metrics, high leverage, and sustained underperformance relative to benchmarks. The stock’s position below all major moving averages and its Strong Sell Mojo Grade underscore the challenges it faces in reversing its downward trajectory. Investors and market participants will continue to monitor the company’s financial disclosures and market developments closely as it navigates this difficult phase.
Upgrade at special rates, valid only for the next few days. Claim Your Special Rate →
