Why is Capital India falling/rising?

Sep 26 2025 10:27 PM IST
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As of 26-Sep, Capital India Finance Ltd's stock price is at 36.00, down 0.5%, and has fallen 5.26% over the last two days. Despite a 24.27% return over the past year, the stock shows weak long-term fundamentals and declining investor interest, contrasting with a smaller decline in the broader market.
As of 26-Sep, Capital India Finance Ltd is experiencing a decline in its stock price, currently at 36.00, reflecting a decrease of 0.18 (-0.5%). The stock has been underperforming recently, having fallen consecutively for the last two days with a total drop of 5.26%. In terms of performance, while the stock has outperformed its sector by 1.03% today, it has shown a negative return of 5.39% over the past week. Additionally, the stock's long-term fundamentals appear weak, with a low Return on Equity (ROE) of 0.54% and a concerning debt-equity ratio of 1.59. Despite generating a 24.27% return over the past year, the stock's profitability has not kept pace, as indicated by a significant drop in net sales and a negative profit after tax in the latest quarter.

Broader market context shows that the stock's recent performance contrasts with the benchmark, as the Sensex has only declined by 2.66% over the past week. This indicates that while the overall market is down, Capital India is facing more significant challenges. The stock's liquidity remains adequate, but a notable drop in delivery volume suggests waning investor interest. Furthermore, the lack of domestic mutual fund investment may reflect broader concerns about the company's valuation and business stability, which could be contributing to the stock's recent downward trend.
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