Why is CreditAcc. Gram. falling/rising?
As of 06-Aug, CreditAccess Grameen Ltd's stock price is Rs 1,218.90, down 1.87%, and has underperformed its sector. Despite strong long-term fundamentals, negative quarterly results and declining investor confidence have led to perceptions of the stock being overvalued.
As of 06-Aug, CreditAccess Grameen Ltd is experiencing a decline in its stock price, currently at Rs 1,218.90, which reflects a decrease of Rs 23.25 or 1.87%. The stock has underperformed its sector by 1.61% today, touching an intraday low of Rs 1,199.85, which is a drop of 3.41%. Over the past week, the stock has decreased by 1.55%, and in the last month, it has fallen by 6.00%. Despite a strong long-term fundamental strength indicated by a 23.98% CAGR growth in net sales and high institutional holdings at 24.89%, the company has reported negative results for the last four consecutive quarters, with significant declines in profit before tax and profit after tax compared to previous averages. This has contributed to a perception of the stock being overvalued, trading at a premium compared to its peers.In the broader market context, the stock's recent performance has been weaker than the benchmark Sensex, which has declined by 1.15% over the past week and 3.46% over the past month. The stock's year-to-date return of 37.16% is significantly higher than the Sensex's 3.08%, but the one-year return of -6.47% contrasts sharply with the Sensex's positive return of 2.48%. The falling investor participation, as evidenced by a 72.48% drop in delivery volume compared to the five-day average, further indicates a lack of confidence among investors, contributing to the stock's downward movement.
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