Cupid Stock Plunges 5.5% in Two Days Following Quarterly Results

Cupid's Q4FY26 Performance Overshadowed by Concerns Over West Asia Conflict and Raw Material Costs

Shares of Cupid plummeted by over 5 per cent in Tuesday's trade, despite the condom-maker reporting its strongest-ever quarterly performance for Q4FY26. The stock declined 5.04 per cent or Rs 6.09 to trade at Rs 114.75 on the National Stock Exchange (NSE).

Cupid announced last week that it had achieved the best quarterly performance in the company's history for the quarter ended March 31, 2026. The company's revenue and net profit surpassed its FY26 guidance of Rs 335 crore and Rs 100 crore, respectively. The strong performance was attributed to strong execution, sustained demand momentum, and traction across key business segments.

The company's diversified portfolio across healthcare, wellness, diagnostics, and FMCG categories continued to strengthen the overall business mix. Male condoms remained the largest contributor to revenue during FY26 at around Rs 181.11 crore, followed by female condoms and newly launched FMCG products.

Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data

However, valuation concerns continued to weigh on investor sentiment. Research Analyst Nitant Darekar at Bonanza noted that Cupid is priced for perfection with a TTM P/E near 200X and 43X book value, leaving zero margin for slippage in an uncertain global environment.

The comparison data available on the NSE showed FMCG companies trading at significantly lower valuation multiples.

On the technical outlook, Senior Technical Research Analyst Virat Jagad at Bonanza noted that Cupid Ltd has witnessed a sharp correction after facing strong resistance near the 130-133 zone, indicating profit booking following the recent breakout rally. The stock has slipped below its short-term moving average, while RSI has dropped near the 40 mark, reflecting weakening momentum in the near term.

Read also: US-Iran Tensions Spark Uptick in Oil Prices Amid Global Market Decline

The concerns over rising raw material costs also come amid mounting global supply disruptions linked to the Iran conflict. Last month, Karex, the world's largest condom manufacturer, had said it may raise prices by up to 30 per cent or more if the conflict continues to disrupt raw material supplies. Karex's chief executive Goh Miah Kiat had said production costs had risen sharply following disruptions in global oil supply chains after Iran threatened action in the Strait of Hormuz in response to US and Israeli airstrikes.