Why is Barbeque-Nation falling/rising?
As of 10-Sep, Barbeque-Nation Hospitality Ltd is priced at 260.55, with a recent increase but a year-to-date decline of -41.09%. Despite some short-term gains, the stock has underperformed significantly over the past year and shows weak long-term fundamentals, raising concerns about its viability.
As of 10-Sep, Barbeque-Nation Hospitality Ltd is currently priced at 260.55, reflecting an increase of 2.1 (0.81%). The stock has shown a positive trend recently, gaining 2.3% over the last two days and outperforming its sector by 1.07%. However, it has underperformed the benchmark over the past week with a return of -1.75% compared to the Sensex's +1.06%. Despite this recent uptick, the stock has experienced significant declines over the longer term, with a year-to-date return of -41.09% and a staggering -59.23% over the past year. The company's return on capital employed (ROCE) stands at a low 3.2, indicating weak long-term fundamental strength, while its profits have plummeted by -181.7% over the past year. High institutional holdings at 30.07% suggest that knowledgeable investors are closely monitoring the stock, but the overall financial health remains concerning due to a high debt-to-EBITDA ratio of 4.20 times.In the broader market context, Barbeque-Nation's recent performance contrasts sharply with the benchmark, which has shown a positive return of +4.21% year-to-date. While the stock has seen a slight increase in price recently, it continues to trade below its moving averages, indicating a lack of momentum. The stock's liquidity is adequate, with a delivery volume that has risen significantly, suggesting increased investor interest. However, the consistent underperformance against the benchmark over the last three years raises concerns about its long-term viability, as it has failed to generate positive returns compared to the broader market.
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