Why All Time Plastics Share Price Is Falling

All Time Plastics Ltd. (NSE: ALLTIME, BSE: 544479) has gone through a familiar “newly listed stock” arc: strong early enthusiasm, followed by tougher price discovery once quarterly numbers, input costs, and post-IPO share supply meet the market in real time. The share price decline isn’t explained by one headline alone. It’s better understood as a stack of pressures—some company-specific (profitability volatility), some structural (lock-in expiries), and some industry-linked (polymer price moves).

This article explains the fall using fresh price data up to 16 January 2026, the most recent published quarterly performance, and the latest available upstream raw-material signals.

1) The fall in numbers: what has actually happened to the stock?

As of 16 Jan 2026, the stock is trading around ₹238–₹246 depending on venue/time snapshot, with multiple market trackers placing it near ₹238.4–₹245.6 during the session/day.

Now compare that to key post-IPO reference points:

• IPO price: ₹275

• Listing day levels: roughly ₹311–₹314 (a premium of ~13–14% over IPO)

• Post-listing peak (52-week high commonly reported): ~₹334.9

• Recent low print (52-week low widely reported): ~₹234.3 (mid-Jan 2026)

That means the stock is down approximately:

• ~29–30% from the post-listing high (₹334.9 → ~₹238–₹246)

• ~10–14% below the IPO price (₹275 → ~₹238–₹246)

• ~20–25% below listing-day levels (~₹314 → ~₹238–₹246)

This is important because it tells you the decline is not a single-day reaction. It’s a multi-month repricing where the market is re-evaluating what the business should be worth after seeing public-market realities.

2) The biggest company-specific trigger: Q2 FY26 profitability shock

For a consumerware/plastics manufacturer, steady margins often matter more than flashy revenue. The most visible “why now?” driver behind All Time Plastics’ de-rating has been the sharp sequential (QoQ) drop in profit and operating margin in the latest reported quarter (Q2 FY26, quarter ended Sep 2025).

Quarterly performance snapshot (Standalone/consolidated style presentation varies by tracker; directionality is consistent)

Q1 FY26 (Jun 2025 quarter)

• Revenue from operations: ~₹158 Cr

• Net profit (PAT): ~₹12.8 Cr

• Operating profit (EBIT / operating): ~₹28–₹29 Cr range (as shown by several trackers)

Q2 FY26 (Sep 2025 quarter)

• Revenue: ~₹149 Cr (~6% QoQ decline)

• Net profit (PAT): ~₹4.1–₹4.2 Cr (~67–69% QoQ decline)

• EBITDA: ~₹17.9 Cr vs ~₹29.36 Cr in Q1 (~39% QoQ decline)

• Operating margin (OPM): ~18.2% → ~11.0% (large compression)

Even if year-on-year revenue growth remained positive in some comparisons, the market tends to react hardest to:

1. a steep QoQ profit drop, and

2. margin compression, because those two together signal that costs moved faster than pricing.

Why one “bad quarter” can hit so hard post-IPO

When a stock is newly listed, valuation is partly built on narrative: capacity expansion, brand/contract runway, and “operating leverage” assumptions. A quarter where profit collapses makes investors ask:

• Are input costs becoming structurally harder to pass through?

• Is the business mix shifting toward lower-margin orders?

• Are overheads rising faster than expected?

• Was Q1 unusually strong (timing/one-offs), making Q2 look worse by comparison?

Public markets discount uncertainty aggressively. In small and mid-cap names, the discount can be even harsher because a single quarter can reset perception of the “true earnings power.”

3) Polymer raw material prices moved up in January 2026—right when the market is already nervous about margins

Plastics consumerware economics are highly sensitive to PP/PE resin. When resin prices rise quickly, manufacturers face a timing problem:

• Costs go up immediately (new procurement).

• Selling prices may adjust with a delay (contract cycles, retailer pushback, competition).

• The gap shows up as margin compression—exactly what investors just saw in Q2 FY26.

Latest resin pricing signals (Jan 2026)

Mid-January 2026 domestic market bulletins indicate multiple ₹1,000/MT upward revisions:

• IOC polymer revision effective 12 Jan 2026:

  • PP: +₹1,000/MT

  • PE: +₹1,000/MT

• Around the same period, there were also notes of RIL increases in HDPE/LLDPE by about ₹1,000/MT for several grades effective 12 Jan 2026, and other grade-specific adjustments reported in the market.

On the global/benchmark side, commodity trackers around 15–16 Jan 2026 show:

• Polypropylene up month-to-date in some benchmark series (with daily moves fluctuating), and

• Polyethylene showing day-to-day volatility (including a dip on 16 Jan in one benchmark series, despite month-to-date strength).

You don’t need every benchmark to be perfectly aligned to get the message: resins are not flat, and domestic producers have been comfortable pushing through price hikes in early Jan. For an end-product manufacturer, that creates two market anxieties:

1. Will All Time Plastics be able to pass through cost increases fast enough?

2. If not, could the next quarter also show margin pressure?

The market doesn’t wait for the next results; it reprices on the probability.

4) Post-IPO share supply shock: lock-in expiries create real selling pressure

A crucial “mechanical” reason newly listed stocks fall is not fundamentals—it’s supply.

In IPOs, certain investors (especially anchors) have lock-in periods. Once those periods end, shares that were previously not tradable become available, increasing effective float. That does two things:

• Adds potential sell supply, and

• Changes trader behavior (people sell ahead of expected supply).

What happened around early Jan 2026

Market coverage of IPO lock-in expiries highlighted that All Time Plastics had a meaningful unlock in early January 2026, commonly cited as:

• ~40 lakh shares unlocking, or ~6% of equity, on/around 1 Jan 2026

• Value estimates around ₹400 Cr were referenced in lock-in expiry watchlists depending on prevailing price assumptions.

Whether every unlocked share is sold is not the point. The market often acts like this:

• “If supply is coming, the price might struggle.”

• “If results are already volatile, holders may use the unlock window to reduce risk.”

• “If liquidity is thinner, even moderate selling can push price down.”

When the stock is already under pressure after an earnings disappointment, unlocks can amplify the downtrend. This is why you’ll often see post-IPO names drift lower in the months following listing, especially around specific lock-in dates.

5) Working-capital signal: rising debtor days can worsen sentiment even if revenue is okay

Another data point that can weigh on valuation is cash conversion.

Some fundamental screeners flag that:

• Debtor days increased from ~42 to ~56.6 days (trend over recent periods).

For a manufacturer, rising receivable days can imply:

• Customers are taking longer to pay (power shifting to buyers), or

• The company is pushing more sales through channels that pay slower, or

• Collections are normalizing after a period of unusually fast receipts.

Markets don’t like uncertainty here because:

• Slow collections can raise borrowing needs,

• Interest costs can rise, and

• Reported profit quality is questioned if cash isn’t coming in.

This doesn’t prove distress. But combined with margin volatility, it becomes another reason investors demand a bigger risk discount.

6) Flows and positioning: small changes matter more in a new small-cap listing

In newly listed small-/mid-cap stocks, price is often driven by the marginal buyer/seller:

• If institutions aren’t building positions aggressively,

• and if retail sentiment turns cautious after a profit miss,

• the stock can slide until a new valuation “floor” attracts fresh demand.

Shareholding snapshots around the Dec 2025 quarter commonly show:

• Promoter holding around ~70%, with the rest split among public shareholders and institutions.

Even minor changes in institutional ownership can impact price when:

• The free float is limited, and

• Trading volumes are not deep enough to absorb bursts of selling.

7) The “IPO glow” effect: early optimism fades, valuation resets

All Time Plastics listed in Aug 2025 and initially traded with optimism. But the reality of public markets is that the first few quarters after listing often determine whether a stock earns a “premium multiple” or gets treated like a regular cyclical manufacturer.

The typical post-IPO de-rating pattern looks like this:

1. Listing premium and early run-up

2. First earnings tests expectations

3. Any margin wobble triggers a reset

4. Lock-in expiries increase supply

5. Price drifts until earnings stabilize

All Time Plastics fits this script closely:

• Early post-listing enthusiasm took it toward the ~₹335 zone,

• Then Q2 showed a sharp margin/profit compression,

• Then early Jan brought a meaningful lock-in unlock event,

• And polymer price hikes in Jan reinforced the fear that margins may remain under pressure.

8) What the market is likely pricing in now

Based on the data, the current price behavior suggests the market is discounting some combination of these expectations:

A) “Earnings power is lower / less stable than assumed”

When PAT drops ~67–69% QoQ, investors often assume either:

• margins may remain weaker for a while, or

• the business is more sensitive to resin and pricing dynamics than previously thought.

B) “Next quarter risk is asymmetric”

If resin prices are rising in Jan 2026, investors worry that the next reported quarter could show:

• continued margin pressure, or

• only partial recovery.

C) “Supply overhang creates a ceiling”

Unlocks can cap rallies because every bounce becomes an opportunity for some shareholders to exit.

9) The key numbers to track next (a practical checklist)

If you want a data-driven way to judge whether the downtrend is likely to reverse or continue, focus on four measurable areas:

1) Operating margin and EBITDA stability

• Watch whether OPM returns toward the ~18% zone seen earlier, or stays closer to ~11%.

• A single quarter rebound helps, but markets usually want two consecutive quarters showing stability.

2) Profit conversion (PAT as % of sales)

In Q2 FY26, net profit margin was roughly in the ~2.8% range (based on PAT ~₹4.2 Cr on sales ~₹149 Cr).
If that margin improves meaningfully, sentiment can change quickly.

3) Working-capital movement

• Do debtor days stop rising?

• Does operating cash flow improve relative to profit?

4) Management commentary and pricing power

The most important qualitative input is:

• Can the company pass resin increases through to customers with minimal delay?

• Are there contractual mechanisms (indexation / periodic revisions) that protect gross margins?

10) So why is the share price falling—summed up in one line?

Because the market is digesting a post-IPO reality check: a sharp Q2 margin/profit drop, followed by early Jan 2026 lock-in unlock supply, while resin prices are rising again, keeping margin risk top-of-mind.

Conclusion: A fall driven by fundamentals + mechanics, not mystery

All Time Plastics’ decline looks like a classic case where:

• profitability volatility (Q2 FY26) damaged confidence,

• raw material price hikes in Jan 2026 reinforced margin fears, and

• lock-in expiries increased perceived and actual selling supply at the worst possible time.

To be clear, a falling share price doesn’t automatically mean the business is broken. It often means expectations and valuation were too optimistic relative to near-term earnings stability. For the stock to recover sustainably, the data will likely need to show:

• margin stabilization,

• improved profit conversion, and

• reassurance that resin cost moves can be managed through pricing and mix.

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