Cupid Shares Plunge 20% on Profit Booking, Ending a 13-Session Unbeaten Rally
Shares of Cupid, a prominent manufacturer and supplier of male and female condoms, water-based lubricant jelly, and IVD kits, faced a significant setback on Friday. The stock dropped by 20%, reaching a low of Rs 419.95 on the NSE, amidst profit booking after an impressive 13-session unbeaten rally that had seen a total increase of 34%.
Key Market Highlights:
– Trading Volume: Over 2 crore shares were exchanged on the day, indicating strong market activity.
– 52-Week High: Cupid hit a 52-week high of Rs 526.95 just a day prior to the decline.
– Company Management: Aditya Kumar Halwasia, the Chairman and Managing Director, remains a key figure, also holding a stake in the Tourism Finance Corporation of India Ltd. Recently, he invested Rs 71 crore in 38 lakh shares of Karnataka Bank.
Stock Performance:
– 1-Year Returns: Cupid has experienced phenomenal growth, delivering a staggering 452% return over the past year.
– Momentum Indicators: The stock’s momentum indicators, including the Relative Strength Index (RSI) and the Money Flow Index (MFI), show signs of being in an overbought zone. The RSI is around 93, while the MFI registered a peak of 100, indicating a potential pullback as typical thresholds suggest that an MFI above 70 signifies overbought conditions.
Financial Performance:
– Profit Surge: For the quarter ending September 30, 2025, Cupid reported a consolidated net profit of Rs 24 crore, a substantial 140% increase from Rs 10 crore in the same quarter of the previous year.
– Revenue Growth: The total revenue for the quarter reached Rs 90 crore, marking a 91% year-over-year growth compared to Rs 47.3 crore from the same period last year.
Share Price Trends:
– Currently, Cupid shares are trading above both the 50-day and 200-day simple moving averages, which are Rs 348 and Rs 186.3, respectively.
Cupid was incorporated as a public limited company in 1993 and made its BSE market debut in 1995, listing on the NSE in 2016.
Conclusion
The recent plunge in Cupid shares demonstrates the volatility commonly seen in the stock market, especially following impressive rallies. As investors weigh the balance of profit taking and potential future gains, the focus will be on understanding whether the underlying strengths of the company can support a rebound. With significant growth over the past year and a strong management team, Cupid may still have positive prospects on the horizon.
(Disclaimer: The recommendations, suggestions, views, and opinions expressed by experts are their own and do not represent the views of The Economic Times.)