In a remarkable display of resilience, shares of TCI Finance have staged a spectacular bull run, defying the extreme volatility that gripped the Indian stock market in the latter half of December. While broader indices witnessed sharp swings, this small-cap non-banking financial company (NBFC) charted its own course, delivering massive returns to investors in a very short span.
A Ten-Session Winning Streak Against the Tide
The stock's incredible journey began on December 17, when it locked in a 20% upper circuit. The very next session saw a repeat performance with another 20% gain. This explosive movement prompted the stock exchanges to intervene, progressively reducing the daily circuit limit—first to 10% and then to the current 5%. However, the rally lost none of its momentum.
On Wednesday, December 31, TCI Finance shares were locked in a 5% upper circuit at ₹27.36 per share on the National Stock Exchange (NSE). This marked the tenth consecutive session where the stock hit its upper price band. Trading volumes reflected the frenzy, with around 44,000 shares changing hands on the NSE and 4,000 on the BSE by midday.
The cumulative effect of this relentless ascent is staggering: the stock has surged by 144.3% in just ten trading sessions.
Exchanges Seek Clarification as Rally Intensifies
The sheer velocity of the price movement did not go unnoticed. The sharp rally attracted the attention of the stock exchanges, which sought a clarification from the company regarding the steep rise in its share price on December 19.
In its response dated December 20, TCI Finance stated that there was no material information or announcement that needed to be disclosed under applicable regulations. The company also confirmed it had not withheld any such information from the public.
In a separate regulatory filing on December 26, the company announced a closure of the trading window for insiders. The window will remain shut from the start of trading hours on January 1, 2026, until 48 hours after the declaration of the financial results for the third quarter ending December 31, 2025. This rule applies to all designated persons and their immediate relatives. The board meeting date for these results will be announced shortly.
December Surge Caps a Stellar Year
This explosive December rally has been a game-changer for the stock's annual performance. After moving sideways for nearly five months, the sharp turnaround in December contributed to a 47% surge in the calendar year 2025.
This follows an already phenomenal year in 2024, when the shares delivered a 370% return. The two-year cumulative gain for investors now stands at an astronomical 592%.
The rally has created significant wealth, with retail investors being the prime beneficiaries. According to the shareholding pattern for the September quarter available on the BSE, retail investors collectively own a 75.3% stake in TCI Finance. The promoters hold the remaining 24.7%.
Such dramatic price movements are often characteristic of the small-cap segment of the market. Low liquidity combined with momentum-driven trading can fuel outsized rallies, sometimes even in the absence of an immediate fundamental trigger.
TCI Finance Ltd. is an RBI-registered non-banking financial services company. Its core business activities include providing loans against securities and financing for commercial vehicles.
Disclaimer: This news article is for informational and educational purposes only. Investors are strongly advised to consult with certified financial experts before making any investment decisions.
