Nakoda Group Faces Financial Struggles Amid Persistent Stock Decline and High Debt Levels

Nakoda Group of Industries, a microcap player in the FMCG sector, has experienced significant volatility today, hitting a new 52-week low of Rs. 27.73. This decline marks a continued trend, as the stock has underperformed its sector by 1.27% and has seen a consecutive drop over the past three days, totaling a decline of 3.78%.
In terms of moving averages, Nakoda Group is currently trading below its 5-day, 20-day, 50-day, 100-day, and 200-day averages, indicating a persistent downward trend. Over the past year, the stock has reported a staggering loss of 29.36%, contrasting sharply with the Sensex, which has gained 2.34% during the same period.

Financially, the company is grappling with operating losses and a high debt-to-EBITDA ratio of 9.35 times, reflecting its low capacity to service debt. The average return on equity stands at a mere 4.34%, highlighting weak profitability. Additionally, the company reported its lowest quarterly PBDIT at Rs. -2.43 crore, further emphasizing its challenging financial position. Overall, Nakoda Group of Industries continues to face significant hurdles in the current market landscape.