These five Tata Group stocks are down up to 50% from 52-week highs

The market value of the group's 16 largest companies has declined by $75 billion so far this year — the lowest in the last two years.

Of the total decline, over one-fifth (about $20 billion) has been wiped out since 19 September, following the US announcement of stricter work visa rules.

This sharp drawdown occurred at a time when broader markets have been gradually recovering from their lows in mid-2025, making the underperformance even more striking.

A few have fallen nearly 50% from their 52-week highs, raising the need for a closer look to assess whether these declines reflect temporary setbacks or deeper business challenges.

Here are five such stocks that have fallen the most in the last year…

#1 Tejas Networks

Tejas Networks is down 49% from its 52-week high. The company manufactures high-performance, future-ready products for high-speed communication networks that carry voice, data, and video traffic from fixed-line and mobile networks. Its products are differentiated by software-defined hardware, providing flexibility and multi-generational support.

Tejas' product range spans both wireless and wireline solutions, to several technologies, including 4G/5G RAN and Satellite IoT, fiber broadband, optical transport, and high-capacity routing solutions. It serves customers in over 75 countries.

From a financial perspective, Tejas' revenue declined 87% year-on-year (YoY) to ₹200 crore, while the company reported a loss of ₹190 crore, compared to a profit of ₹77 crore.

Delays in inventory arrivals, shipment clearances, and execution timelines impacted its financial position. The trade receivables stand at ₹4,450 crore due to the BSNL 4G project, which it expects to decline over the coming quarters.

All these factors contributed to the fall.

The order book for Q1 FY26 was ₹1,240 crore, providing revenue visibility of less than a year.

The company expects to receive an order worth ₹1,520 crore for adding 18,685 sites for BSNL's expansion. This order is expected to be carried out in FY26 itself. In addition, inventory stood at ₹2,540 crore, which it expects to convert to finished goods in the upcoming months.

Beyond BSNL, Tejas is also exploring large-scale projects in the domestic market, in both the private and government sectors.

It also expects momentum in expanding its international business. Tejas expects business closures in 4G and 5G in FY26 in partnership with multiple global operators (like NEC and Rakuten Symphony).

The company is expanding its support for 5G across multiple bands and enhancing its portfolio with 5G Massive MIMO radios. It's also enhancing the optical portfolio with 800G/1.2T DWDM systems and improving the FTTx portfolio with XGS-PON products.

It plans to incorporate artificial intelligence (AI) to enhance capabilities in self-organizing networks, network management, and software development, seeking to gain cost and technology leadership.

#2 Trent

Trent is down 36% from its 52-week high.

Trent is engaged in the retailing and trading of apparel, footwear, and accessories. Its business strategy involves nurturing, building, and growing brands of scale in the fashion and lifestyle space.

Its key retail formats include value-fashion brands (Westside, Zudio), Utsa (ethnic and beauty), Samoh (premium), and Star (hypermarket). It also distributes Zara and Massimo Dutti products in India.

As of Q1 FY26, Trent's total store count stood at 1,043 across 242 cities. Of these, Westside had 248 stores, Zudio (766), and Star (77).

In Q1FY26, revenue increased 19% to ₹4,880 crore. PAT grew 8.7% to ₹420 crore, with an operating margin of 11%. Star's revenue increased by 6.6% to ₹870 crore, accounting for 17.8% of the total revenue.

The company generates 73% of its revenue from its brands. Although its performance remains strong, growth has slowed relatively, leading to a decline in the share price.

Looking ahead, Trent aims to expand into underpenetrated tier 2 and tier 3 markets, with strong customer traction. This store's additions are likely to drive revenue growth.

Additionally, higher margins are anticipated in the coming years due to improved operating leverage, enhanced efficiencies, and a more favorable product mix.

#3 Tata Consultancy Services

Tata Consultancy Services (TCS) is down 32% from its 52-week high.

TCS is India's largest IT services, consulting, and business solutions company, and the second largest globally.

The company’s service portfolio spans a broad range of offerings, including application development, digital transformation, AI, data and cloud services, engineering, and cybersecurity.

TCS revenue in Q1FY26 increased by 1.3% to ₹63,440 crore, with sequential margin expansion of 30 basis points to 24.5%. PAT rose by 5.9% to ₹12,820 crore.

India saw the sharpest contraction (-21.7%), followed by North America (-2.7%) and Continental Europe (-3.1%). The Middle East and Africa (9.4%), Asia Pacific (3.6%), and Latin America (3.5%) grew.

Among verticals, energy, resources, and utilities (2.8%), technology & services (1.8%), and BFSI (1.0%) grew, while life sciences and healthcare (-9.6%) and communication & media (-9.6%) contracted.

The company reported operational resilience amid sectoral challenges. It has a strong order pipeline, with the total contract value (TCV) for Q1 coming in at $940 crore.

TCS is expanding its WisdomNext AI platform with agentic AI capabilities. TCS continues to leverage its proprietary platforms (Ignio), which won multiple deals, driven by trends in AI and GenAI.

The company didn't provide any guidance, but it aims to drive overall growth in FY26 better than FY25, acknowledging that this is a high bar to cross.

#4 Tata Elxsi

Tata Elxsi is down 31% from its 52-week high. The company is among the world's leading providers of design and technology services in industries like transportation, media, communications, healthcare, and medical devices.

The company provides integrated services from research and strategy to electronics and mechanical design, software development, validation, and deployment.

In essence, it helps customers reimagine their products and services through design thinking and the application of digital technologies, such as IoT, cloud, mobility, virtual reality, and artificial intelligence.

Tata Elxsi's revenue declined 3.7% to ₹890 crore in Q1 FY26. PAT dropped 22% to ₹140 crore, as the margin fell 600 bps to 21%.

Geographically, Europe remains the largest contributor, accounting for 39.5% of the revenue, followed by the Americas (30%), India (19.8%), and the rest of the world (10.5%).

The revenue contribution from Europe and the Americas declined during the quarter.

Looking ahead, the management expects margins to gradually improve to 28-30% as revenue growth returns. But they refrained from giving revenue guidance.

The company has won large deals in recent months, including software-defined vehicle engineering projects for Mercedes-Benz and Suzuki. These deals are ramping up and are expected to contribute to growth in FY26.

Tata Elxsi is also in discussion with OEMs for large strategic deals, including new clients in Japan, the Americas, and Europe.

The management expects growth in the media business to pick up from Q2 of FY26 onwards. This is expected to be driven by a ramp-up of large deals received in Q4 and a strong deal pipeline. The company is also expanding into aerospace and defence to diversify in this fast-growing sector.

There is strong demand for drones, eVTOLs, and defence businesses not only in India but also in the US. The focus is on the US, Europe, Japan, and India, along with some business in the Middle East, Africa, Latin America, and Southeast Asia.

This segment is expected to contribute ₹50 crore in FY26, with growth accelerating in the next 2-3 years. The company is also looking for inorganic growth to establish itself in this segment.

#5 Voltas

Voltas is down 27% from its 52-week high.

Voltas is India's leading provider of air conditioning and engineering solutions. It primarily manufactures and sells cooling products, like air conditioners, for both retail and commercial use. It also competes in the consumer durables market through Voltbek, a joint venture with Arçelik.

Voltas reported a decline in performance in Q1FY26. Revenue declined 20% to ₹3940 crore, while PAT dropped 58% to ₹140 crore.

Weather-related volatility and a high base from the previous year weighed on growth. The summer of 2025 arrived later than usual, was milder, and ended abruptly, sharply denting peak-season demand for cooling products.

Unitary Cooling Products (UCP) revenue declined to ₹2,870 crore, from ₹3,800 crore. Segment earnings before interest and tax also crashed 68% to ₹100 crore. It contributes 73% to revenue, down from 78% in Q1FY25.

While Electro-Mechanical Projects and Services revenue fell 2.8% to ₹920 crore. The total order book as of 30 June 2025 stood at over ₹6,200 crore, providing visibility for about 6-7 quarters.

Voltas maintained its No. 1 market position in room air conditioners at 17.8%. The company strives to retain its leadership position and remain competitive.

Voltbek's home appliances business remains loss-making, but it has been steadily expanding its market presence. The company aims to become profitable once it reaches a 10% market share threshold.

The company states that recovery for the UCP segment may take a few quarters, but strategic investments and ongoing initiatives are expected to support long-term growth.

The recent GST reduction from 28% to 18% on such electronic products, combined with the festive season, is also likely to revive demand.

Conclusion

Together, these five stocks show how fortunes within the Tata Group have diverged in 2025.

From Tejas’ execution hurdles and TCS’ sectoral slowdown to Voltas' weather-driven slump and Trent's cooling momentum, each story is different. But the outcome is the same—sharp wealth erosion.

Tejas expects large BSNL and global 5G orders to drive recovery, while Trent plans to deepen its retail expansion. TCS is banking on its strong order pipeline and AI platforms, Tata Elxsi on new deal ramp-ups, and Voltas on festive demand and a gradual revival in cooling product sales.

Instead of relying solely on hype, it’s necessary to carefully analyse the company's fundamentals, including its financial performance, corporate governance practices, and growth strategies.

Happy Investing.

Disclaimer: This article is for information purposes only. It is not a stock recommendation and should not be treated as such.

This article is syndicated from Equitymaster.com