Why is Allcargo Termi falling/rising?
As of 10-Sep, Allcargo Terminals Ltd's stock price is at 28.26, reflecting a recent increase but a significant decline of 41.58% over the past year. Despite short-term gains, the stock faces long-term challenges, including decreased institutional interest and weak profit growth, leading to a cautious outlook.
As of 10-Sep, Allcargo Terminals Ltd's stock price is currently at 28.26, reflecting an increase of 0.16 or 0.57%. The stock has shown a positive trend recently, gaining for the last two consecutive days with a total return of 1.44%. However, despite this short-term gain, the stock has underperformed significantly over longer periods, with a decline of 41.58% over the past year and 5.83% over the past month. The company has a very attractive valuation with a return on capital employed (ROCE) of 10, but it has also faced challenges, including a 16.8% drop in profits over the past year and a weak long-term fundamental strength indicated by a -2.05% compound annual growth rate in operating profits over the last five years. Additionally, institutional investor participation has decreased, which may signal a lack of confidence in the company's future performance.In the broader market context, the stock's recent performance contrasts with the Sensex, which has increased by 1.06% over the past week and 1.96% over the past month. This indicates that while Allcargo Terminals Ltd has seen a slight uptick in price, it is still lagging behind the overall market trends. The stock's liquidity remains adequate for trading, but the falling delivery volume suggests a decline in investor interest. Overall, the combination of short-term gains against a backdrop of long-term underperformance and declining institutional interest contributes to a cautious outlook for Allcargo Terminals Ltd.
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