Why is Bombay Super Hyb falling/rising?

Sep 23 2025 11:28 PM IST
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As of 23-Sep, Bombay Super Hybrid Seeds Ltd's stock price is 129.84, reflecting a slight decline and trading below key moving averages, indicating a bearish trend. Despite strong long-term growth, the stock's high valuation and lack of investor confidence suggest it may not be a favorable investment currently.
As of 23-Sep, Bombay Super Hybrid Seeds Ltd is experiencing a slight decline in its stock price, currently at 129.84, reflecting a change of -0.02 (-0.02%). The stock is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish trend. Additionally, there has been a significant drop in investor participation, with delivery volume falling by 44.42% compared to the 5-day average. Over the past week, the stock has decreased by 3.02%, and it has underperformed the benchmark Sensex, which has only declined by 0.28%. Despite a healthy long-term growth rate in operating profit of 42.76% and positive quarterly results, the stock's valuation appears expensive with a return on capital employed (ROCE) of 16 and a PEG ratio of 2.3, suggesting that the stock may not be a favorable investment at its current price.

In the broader market context, while the stock has shown a substantial increase of 1311.30% over the past five years, its recent performance has been disappointing, with a year-to-date decline of 16.17% compared to a 6.45% gain in the Sensex. The stock has also underperformed over the last year, generating a return of -28.86%, while the benchmark has only decreased by 2.97%. The lack of investment from domestic mutual funds, which hold 0% of the company, may indicate a lack of confidence in the stock's current valuation or business prospects, further contributing to its downward pressure in the market.
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