Why is Accel falling/rising?
As of 29-Aug, Accel Ltd's stock price is at 16.01, down 2.97%, with a year-to-date decline of 27.26%. The stock has underperformed its sector and the broader market, facing challenges from decreased profits and high debt levels.
As of 29-Aug, Accel Ltd's stock price is currently at 16.01, reflecting a decrease of 0.49, or 2.97%. The stock has been underperforming, having fallen consecutively for the last two days with a total decline of 3.44%. It has also underperformed its sector by 4.15% today. Over the past week, the stock has decreased by 2.20%, and its year-to-date return stands at a significant decline of 27.26%. Despite having an attractive valuation with a return on capital employed (ROCE) of 6.2, the stock's performance has been hampered by a 41.8% drop in profits over the past year, leading to a negative sentiment among investors.In the broader market context, the Sensex has shown a decline of 1.84% over the past week, indicating that while Accel is underperforming, the overall market is also facing challenges. The stock's liquidity appears to be adequate, but there has been a notable decrease in investor participation, with delivery volume falling by 50.41% against the five-day average. The company's high debt to EBITDA ratio of 7.52 times and weak long-term fundamentals further contribute to the negative outlook, as evidenced by its underperformance relative to the BSE500 over the past three years, one year, and three months.
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