Shangar Decor Faces Severe Decline Amidst Financial Struggles and High Debt Concerns

Shangar Decor, a microcap company in the diversified commercial services sector, has experienced significant volatility, hitting a new 52-week low of Rs. 0.62 today. The stock has underperformed its sector by 6.06% and has seen a consecutive decline over the past eight days, resulting in a total drop of 30.34% during this period.
In terms of moving averages, Shangar Decor is 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 recorded a staggering decline of 63.53%, contrasting sharply with the Sensex, which has gained 5.77% in the same timeframe.

Financially, Shangar Decor is grappling with operating losses and a high debt-to-EBITDA ratio of 4.05 times, reflecting its weak long-term fundamental strength. The company's recent quarterly results show a significant drop in profit after tax, with a loss of Rs. 1.59 crore, marking a 352.4% decline. Additionally, promoter holding has decreased to 2.96%, further highlighting concerns about the company's stability.