Why Did Patanjali Foods Shares Crash Nearly 20% Today? Check the Reason

Synopsis: Heavy selling pushed this FMCG stock nearly 20 percent lower after a large block deal, while concerns over edible oil demand, growth outlook, and weak technical signals weighed on investor sentiment.

The share of this company, which is engaged primarily in the business of processing oilseeds and refining oil for edible use, came under pressure amid multiple factors.

With a market capitalization of Rs 37,812 crore, Patanjali Foods Ltd’s share on Wednesday made a day low of Rs 328.05 per share, down by 19.52 percent from its previous day’s close price of Rs 407.65 per share. The share of the company gave a negative return of 40.24 percent over the last one year.

Factors that might be fueling the selling pressure today

• Large block deal: Patanjali Foods shares came under selling pressure after 54.24 lakh shares (around 1.5 percent equity) worth about Rs 195 crore changed hands in block deals at an average price of Rs 355 per share, triggering heavy selling and pushing the stock to a 52-week low.
• Concerns over edible oil demand: Investors remain cautious after the management earlier said that a delayed monsoon could affect edible oil demand. A weak rural season could also slow demand for some FMCG products in the coming quarters.
• Growth outlook remains under watch: Although the company has maintained its growth guidance, the market is closely watching demand in the edible oils business and the pace of growth in its FMCG segment. Any slowdown in these businesses could affect future earnings.
• GQG Partners cuts stake: Investor sentiment has also been impacted by GQG Partners reducing its stake in the company over the last five quarters. Its holding declined to 2.89 percent in June 2026 from 4.56 percent in June 2025, indicating a gradual reduction in its investment.
• Heavy selling pressure and volume surge: Heavy selling was seen in the stock as investors turned cautious, leading to a sharp rise in trading activity. The stock’s trading volume surged from a daily average of around 14.6 million shares to nearly 86.2 million shares, an increase of about 504 percent, reflecting strong selling pressure and high investor participation.
• Technical pressure: The stock has fallen below its key technical levels, including the 50-day Exponential Moving Average (50-EMA) and 200-day Exponential Moving Average (200-EMA). This indicates weak price momentum and has added to the negative sentiment among investors in the near term.

About the Company

Patanjali Foods (formerly Ruchi Soya) is a major Indian FMCG and edible oil company. Established in 1986 and headquartered in Indore, it manufactures edible oils, soy foods, biscuits, and health supplements. Acquired by the Patanjali Group in 2019, it promotes affordable, Swadeshi (Indian-made) goods.

Financial Highlights: Revenue from operations increased 15.11 percent to Rs 11,156 crore in Q4 FY26 from Rs 9,692 crore in Q4 FY25. Operating margin, however, declined to 4 percent in Q4 FY26 from 5 percent in Q4 FY25. Net profit rose 45.96 percent to Rs 524 crore in Q4 FY26 from Rs 359 crore in Q4 FY25, while EPS increased 46.06 percent to Rs 4.82 in Q4 FY26 from Rs 3.30 in Q4 FY25.

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