Haryana Leather Chemicals Faces Significant Challenges Amidst Sustained Stock Decline

Haryana Leather Chemicals, a microcap player in the commodity chemicals sector, has experienced significant volatility, hitting a new 52-week low of Rs. 62 today. This decline marks a notable underperformance, with the stock down 7.53% over the past three days and trailing its sector by 6.93% today alone. The stock's intraday low reached Rs. 62, reflecting a 7.38% drop.
In terms of moving averages, Haryana Leather is currently trading below its 5-day, 20-day, 50-day, 100-day, and 200-day averages, indicating a sustained downward trend. Over the past year, the stock has seen a staggering decline of 37.97%, contrasting sharply with the Sensex's modest gain of 2.01%.

Financially, the company has shown weak long-term fundamentals, with an average Return on Equity (ROE) of just 5.83%. Its net sales have grown at an annual rate of 11.00%, while operating profit has increased by 11.57% over the last five years. However, the company's ability to service its debt remains a concern, evidenced by a low EBIT to interest ratio of 1.96. Overall, Haryana Leather Chemicals continues to face significant challenges in the current market landscape.