Updated 25 February 2026 at 16:24 IST
SpiceJet Share Price Drops To ₹12.88; Weekly Market Cap Erosion Exceeds ₹4,000 Cr After Block Selling
SpiceJet’s share price fell 10% to ₹12.88, marking an 11-year low, and is down roughly 25% over the past week after large institutional block deals saw 8.4% of the airline’s equity changing hands in a single session. The stock has lost an estimated ₹4,200 crore in market capitalisation this week, bringing its market value to around ₹9,500 crore.
Shares of SpiceJet plunged sharply today, sliding 10% to settle near ₹12.88 on the Bombay Stock Exchange. The decline extended a broader downside trend for the airline’s stock, down about 25% over the past five trading sessions, as institutional selling in large block trades intensified pressure on the counter.
The selloff pulled the stock to its weakest level in more than 11 years, eclipsing lows last seen in 2014. On a weekly basis, SpiceJet’s stock has lost roughly ₹4,200 crore in market capitalisation, based on the drop from near ₹17 levels earlier in the week to the ₹12.88 close. At current prices, the company’s market value stands close to ₹9,500 crore, compared with approximately ₹13,700 crore at the start of the week.
Block Deals Trigger Heavy Selling; 8.4% Equity Transacted
Trading data showed unusually high volumes in SpiceJet shares on Wednesday, with roughly 8.4% of total equity, around 128.6 million shares, changing hands via block deals executed outside normal market auction mechanisms.
Block transactions took place across more than a dozen negotiated deals, dwarfing the average daily traded volume of around 20–25 million shares typically seen in the counter. The large turnover showed concentrated offloading by large shareholders and institutional participants.
Stock market records indicate that block deals of this magnitude in a single session are rare for SpiceJet. It reflects significant repositioning by major holders.
The stock’s recent behaviour has been accompanied by widening intraday trading ranges. The 14-day Relative Strength Index (RSI) is dipping into deeply oversold territory. The sharp downward momentum has increased bid-offer imbalances. Sell orders are exceeding buy interest at multiple price levels.
Despite the extended slide, the airline’s price has not broken below critical historical support levels, leaving open the possibility of technical rebounds if selling pressure abates.
Operational Strain Adds to Market Concerns
SpiceJet’s financial performance over the past year has struggled under a combination of factors:
- Elevated aviation turbine fuel (ATF) prices that pressured margins
- Currency depreciation is increasing lease and US dollar-denominated obligations
- Persistent vendor and lessor payment delays
“The steep decline reflects sustained financial losses and operational challenges. Q3 FY26 results reported a net loss of approximately ₹261 crore, significantly worse on a year-on-year basis,” said Vidhyadhar Kamble, Founder and CEO of Maha Trader Share Market Education. He added, “Repeated engine issues and emergency landings have further dented investor confidence.”
SpiceJet continues to face operational scrutiny following a series of technical irregularities. Most recently, on Tuesday, February 24, SpiceJet Flight SG-121 (Delhi to Leh) was forced to return to the national capital just minutes after take-off. The crew detected a malfunction in the second engine, prompting a "Mayday" call and a safe emergency landing at IGI Airport with 150 passengers on board.
This incident follows a pattern of technical snags reported over the past year. In August 2025, a Delhi–Srinagar flight faced a mid-air cabin pressure alert, and in December 2025, another aircraft made an emergency landing in Jaipur following a bird hit that affected the hydraulic system. While all flights have landed safely, the DGCA continues to monitor the airline closely, having issued 45 show-cause notices for various violations between 2024 and 2025. Despite being removed from "enhanced surveillance" in late 2024, the airline's recurring technical events keep it at the center of regulatory attention.
The high volume of incidents in 2022 (which saw 8 snags in just 18 days) led the DGCA to cap SpiceJet's operations at 50% capacity for several months.
“While recent capacity expansion, raising market share to about 4.3% with the addition of 16 aircraft, offers some optimism, a durable recovery will depend on effective debt resolution and consistent profitability,” added Kamble.
Aviation Stocks Under Pressure
The domestic air travel sector has been volatile. While travel demand is recovering strongly, capacity increases and competitive pricing are constraining yields. Large carriers with consolidated market share and stronger balance sheets have generally fared better than smaller peers, whose higher leverage amplifies risk. SpiceJet’s share performance contrasts with some broader sector indices that have shown mixed results.
Disclaimer: Investors should evaluate their risk profile and take professional guidance where required. This analysis is for educational understanding only and reflects personal views.
Published By : Shourya Jha
Published On: 25 February 2026 at 15:09 IST