Why is Coffee Day Enter falling/rising?
As of 11-Sep, Coffee Day Enterprises Ltd's stock price is declining at 45.65, down 1.79%, with a total loss of 6.34% over the last three days. Despite a strong monthly return of 25.41% and a year-to-date return of 101.01%, the company faces challenges such as negative quarterly results and weak long-term growth, contributing to recent underperformance.
As of 11-Sep, Coffee Day Enterprises Ltd is experiencing a decline in its stock price, currently at 45.65, which reflects a decrease of 0.83 or 1.79%. The stock has underperformed its sector by 1.45% today and has been on a downward trend for the last three days, accumulating a total loss of 6.34% during this period. Although the stock has shown a strong performance over the past month with a return of 25.41% and an impressive year-to-date return of 101.01%, it has also faced significant challenges, including a weak long-term fundamental strength indicated by a -5.57% CAGR growth in net sales over the last five years and a poor EBIT to interest ratio of -3.40. Additionally, the company has reported negative results for the last four consecutive quarters, which has likely contributed to the recent price decline.In the broader market context, while the stock has generated a return of 26.10% over the past year, the benchmark index (BSE500) has seen negative returns of -2.29%, indicating that Coffee Day Enterprises has outperformed the market despite its recent struggles. However, the stock's performance over the last week shows a decline of 1.00%, contrasting with a 1.03% gain in the Sensex, highlighting its underperformance in the short term. The falling investor participation, with a significant drop in delivery volume, further suggests a lack of confidence among investors, which could be exacerbated by the high percentage of pledged promoter shares, adding downward pressure on the stock price in a falling market.
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