SpiceJet hits 5% upper circuit fourth day, gains 21% in sessions
Rally continues despite $8 million UK court order, financial stress
High volumes, trading momentum drive stock despite weak long-term performance
Shares of SpiceJet hit the 5% upper circuit for the fourth consecutive session on Monday, extending their sharp rally despite ongoing financial stress and recent legal setbacks.
The stock was locked at ₹12.88 in afternoon trade, taking its four-day gains to about 21.4%, driven by sustained buying interest after a prolonged period of weakness.
1 April 2026
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Trading activity remained elevated, with volumes nearly matching the 20-day average of around 21.2 crore shares, indicating strong participation from market participants during the rally. The airline's market capitalisation stood at around ₹1,650 crore.
The current upmove comes after a volatile reaction in the previous session, when the stock had initially declined following a UK court ruling directing the airline to pay about $8 million (around ₹70 crore) to aircraft engine lessor Sunbird France 02 SAS. However, the stock reversed losses and hit the upper circuit, continuing the momentum in subsequent sessions.
Legal Pressures Persist Amid Rally
London’s Commercial Court had granted summary judgment in favour of the lessor, with dues linked to unpaid lease rentals since January 2022 and maintenance accruals dating back to November 2020. The lessor had issued default notices in July 2022 and repossessed three engines between late 2022 and mid-2023.
The ruling adds to the airline’s ongoing financial challenges, with SpiceJet continuing to face pressure from past disruptions such as the Boeing 737 Max grounding and the Covid-19 pandemic, along with fleet constraints and rising competition from newer players like Akasa Air.
In a separate case, the airline informed the Delhi High Court that it could face a collapse if required to immediately deposit ₹144.5 crore in its dispute with Kalanithi Maran and KAL Airways. Senior advocate Mukul Rohatgi, representing the airline, told the court that operations and cash flows have been severely impacted due to the West Asia conflict and rising aviation turbine fuel prices.
The court had earlier directed SpiceJet and its promoter Ajay Singh to deposit ₹144.5 crore after adjusting ₹50 crore already paid, against total dues of ₹194.51 crore.
Despite the recent rally, the stock remains under pressure on a longer-term basis. Shares are still down about 72.7% over the past one year, significantly underperforming the Nifty 50, which has gained around 2.1% during the same period.
