Synopsis: NCC Limited (NSE: NCC) shares plummeted 9.9% to reach a fresh 52-week low of ₹135 on February 19, 2026. The “Zero-Minute” fact is that the National Highways Authority of India (NHAI) debarred NCC and its subsidiary, OB Infrastructure, from all new tenders for two years effective February 17, 2026, due to a long-standing dispute over a highway project in Uttar Pradesh.
On Thursday, February 19, 2026, NCC Limited (formerly Nagarjuna Construction Company) faced intense selling pressure, with its stock price hitting an intraday low of ₹135. This sharp decline ended a period of fragile stability and wiped out nearly ₹1,000 crore in market capitalization within hours. The trigger was a regulatory disclosure confirming that the NHAI has barred the company from participating in any fresh bids, whether as a contractor, concessionaire, or consortium member, until February 2028.
While the stock partially recovered to trade near ₹148 later in the session, investor sentiment remains bruised. The debarment follows a string of weak financial performances, including a 36.6% YoY net profit decline in Q3 FY26, making this regulatory blow a major hurdle for the company’s “growth recovery” narrative.
How the NHAI debarment changes the game
The primary driver of the crash is the Restricted Future Order Inflow. Since the transportation and highway segment accounts for roughly 22% of NCC’s total order book, a two-year ban on NHAI tenders creates a significant revenue vacuum for FY27 and FY28.
Furthermore, the “1-2-1” rule of today’s crisis was evident: one major regulatory action (2-year NHAI ban), two core project disputes (the Orai-Bhognipur highway land handover and contractual breaches), and one massive order book under cloud. While NCC’s current ₹79,571 crore order book is technically safe from this order, the inability to replace depleting road projects with new NHAI wins could lead to a “terminal decline” in its transportation vertical.
NCC Ltd: Debarment Details & Market Impact
| Key Metric | Details (Feb 19, 2026) | Strategic Impact |
| Debarment Period | 2 Years (Until Feb 2028) | No New NHAI Bids |
| Intraday Low | ₹135 (Down 9.9%) | New 52-Week Low |
| Disputed Project | Orai-Bhognipur (UP) | Legal & Arbitration Case |
| Order Book Exposure | 22% (Transportation) | Future Pipeline Risk |
Technical Outlook: Breakout or Bear Trap?
Analysts are currently cautious as the stock has breached all its major support levels.
- Support Breach: The stock has fallen below its 200-day moving average (DMA) and its previous psychological floor of ₹145. Technical experts at MarketsMojo have moved the stock to a “Strong Sell” grade following this news.
- Arbitration Hopes: NCC management has stated they will challenge the NHAI order in court, claiming it violates the “principles of natural justice.” A stay order from the High Court could trigger a sharp “short-covering” rally.
- Fundamental Drag: Beyond the ban, the Jal Jeevan Mission (JJM) payment delays continue to strain working capital. Although the company recovered ₹560 crore in January, the outstanding receivables for UP projects still stand at ₹1,200 crore.
The Bottom Line
The 10% crash in NCC shares is a definitive market reaction to a “worst-case” regulatory scenario. For the Aam Aadmi investor, the focus remains on the High Court’s response to NCC’s appeal. Unless the debarment is stayed, the stock may remain a “dead cat” in a booming infrastructure market, underperforming peers like KNR Constructions or PNC Infratech.