Why is Barbeque-Nation falling/rising?

Jul 02 2025 10:41 PM IST
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As of 02-Jul, Barbeque-Nation Hospitality Ltd's stock price is Rs 312.00, down 1.23%, with a significant decline of 6.02% over the past week and 45.26% over the last year. The company shows weak financial fundamentals, including a low ROCE of 3.2 and high Debt to EBITDA ratio of 4.20, leading to a negative outlook despite high institutional holdings.
As of 02-Jul, Barbeque-Nation Hospitality Ltd is experiencing a decline in its stock price, currently at Rs 312.00, reflecting a decrease of Rs 3.9 or 1.23%. The stock has underperformed its sector by 0.45% today and has been on a consecutive downward trend for the last two days, resulting in a total drop of 1.65%. Over the past week, the stock has seen a significant decline of 6.02%, while its performance over the last year shows a staggering drop of 45.26%. The company has reported a very low Return on Capital Employed (ROCE) of 3.2 and a high Debt to EBITDA ratio of 4.20, indicating weak long-term fundamental strength. Additionally, the stock's delivery volume has decreased by 52.68% compared to its five-day average, suggesting falling investor participation.

In the broader market context, the stock's recent performance contrasts sharply with the benchmark, as the Sensex has gained 0.79% over the past week and 6.75% year-to-date. This consistent underperformance against the benchmark over the last three years, coupled with negative financial results such as a PAT of Rs -20.23 crore and a significant drop in cash reserves, further exacerbates investor concerns. Despite high institutional holdings at 31.94%, which typically indicate a more informed investor base, the overall outlook remains negative due to the company's weak financial fundamentals and declining stock performance.
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