Why is Aravali Sec falling/rising?
As of 26-Aug, Aravali Securities & Finance Ltd's stock price is declining at 4.13, down 4.84%, and has underperformed its sector and the broader market significantly. Despite an 18% rise in profits over the past year, the stock's long-term fundamentals are weak, reflected in a year-to-date return of -15.71% and a negative book value.
As of 26-Aug, Aravali Securities & Finance Ltd is experiencing a decline in its stock price, currently at 4.13, reflecting a decrease of 0.21 or 4.84%. The stock has underperformed its sector by 2.89% today and is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. Over the past week, the stock has fallen by 5.28%, and its year-to-date return stands at -15.71%. Despite a rise in profits by 18% over the past year, the stock has generated a return of -18.22%, indicating weak long-term fundamental strength due to a negative book value and poor growth in net sales and operating profit.In the broader market context, the stock's performance has been significantly worse than the benchmark, with the Sensex showing a decline of only 1.05% over the past week and a positive return of 3.39% year-to-date. This stark contrast highlights the challenges faced by Aravali Securities, as it has underperformed the market considerably over the last year, where the BSE500 index returned -3.87%. The combination of falling investor participation, as evidenced by a 52.29% drop in delivery volume, and the stock's weak long-term growth prospects contribute to its current downward trajectory.
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