Enkei Wheels India Faces Financial Struggles Amid Broader Market Volatility
Enkei Wheels India has faced notable volatility, hitting a new 52-week low and underperforming its sector. The company's financial metrics reveal challenges, including a low return on capital employed and a high debt-to-EBITDA ratio. Recent results showed a significant decline in profit, contrasting with broader market trends.
Enkei Wheels India has experienced significant volatility today, reaching a new 52-week low of Rs. 488. The stock has underperformed its sector by 7.61%, continuing a downward trend with a 7.17% decline over the past two days. Intraday trading saw the stock peak at Rs. 539, reflecting a modest gain of 2.08%, before dropping to its low.The company's performance metrics indicate challenges, with a return on capital employed (ROCE) of just 3.14%, suggesting weak long-term fundamental strength. Additionally, Enkei Wheels India has a high debt-to-EBITDA ratio of 3.96, raising concerns about its ability to service debt. Recent financial results have also been disappointing, with a reported PAT of Rs. -2.97 crore, a staggering decline of 253.7% compared to the previous quarter's average.
In the broader market context, the Sensex has seen a negative shift, falling by 732.95 points today. Despite this, the Sensex has gained 5.59% over the past three weeks. Enkei Wheels India’s performance over the last year stands at -7.88%, contrasting sharply with the Sensex's 6.65% gain during the same period.
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