Why is Centum Electron falling/rising?

Sep 18 2025 09:43 PM IST
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As of 18-Sep, Centum Electronics Ltd's stock price is Rs 2,674.30, down 1.13%, following a decline after two days of gains and a significant drop in delivery volume. Despite strong annual performance and outpacing the Sensex, recent price movements indicate potential short-term weakness due to reduced liquidity and investor participation.
As of 18-Sep, Centum Electronics Ltd is experiencing a decline in its stock price, currently at Rs 2,674.30, which reflects a decrease of Rs 30.7 or 1.13%. Today's price summary indicates that the stock has underperformed its sector by 1.67% and has fallen after two consecutive days of gains. The stock touched an intraday low of Rs 2,621.85, representing a drop of 3.07%. Despite a strong performance over the past year, with a return of 51.01%, the stock's recent movement is affected by a significant drop in investor participation, as evidenced by a 69.43% decrease in delivery volume compared to the five-day average. Additionally, while the stock remains above its longer-term moving averages, it is currently below its 20-day moving average, indicating a potential short-term weakness.

In the broader market context, Centum Electronics has outperformed the benchmark Sensex in both the short and long term, with a 1-week return of 2.08% compared to the Sensex's 1.80%. However, the recent decline in price may be attributed to a trend reversal and reduced liquidity, as the stock's trading volume has decreased significantly. Despite these challenges, the company has shown positive financial results, including substantial growth in profit before tax and profit after tax, along with an increase in institutional investor participation, which could provide some support for the stock moving forward.
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