Why is A2Z Infra Engg. falling/rising?
As of 21-Aug, A2Z Infra Engineering Ltd's stock price is at 18.39, down 0.05%. The stock has declined for six consecutive days, underperforming against benchmarks due to high debt and weak growth prospects, despite recent positive financial results.
As of 21-Aug, A2Z Infra Engineering Ltd's stock price is currently at 18.39, reflecting a decrease of 0.01 (-0.05%). The stock has been on a downward trend, losing value for the last six consecutive days and experiencing a total decline of 8.42% during this period. In terms of performance against benchmarks, the stock has underperformed significantly, with a 1-week return of -6.17% compared to the Sensex's gain of +1.74%, and a 1-month return of -19.48% against the Sensex's slight decline of -0.24%. While there were positive results reported on June 25, including a substantial growth in profit before tax and a higher profit after tax, the company is burdened with high debt and weak long-term growth prospects, which are contributing to the stock's recent decline.In the broader market context, the stock's performance is particularly concerning given the overall market's stability, as indicated by the Sensex's positive returns over the same periods. The high debt-to-equity ratio of 3.96 times and the low return on equity of 5.29% suggest that the company is struggling with profitability, which may deter investors. Additionally, the fact that 99.68% of promoter shares are pledged adds further pressure on the stock price, especially in a falling market. This combination of high debt, poor long-term growth, and significant promoter share pledging is likely contributing to the stock's downward movement, despite some recent positive financial results.
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