Why is DJ Mediaprint falling/rising?

Aug 13 2025 11:00 PM IST
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As of 13-Aug, DJ Mediaprint & Logistics Ltd's stock price is declining at 109.60, down 0.5%, and has underperformed its sector. Despite strong management efficiency indicated by a high ROCE and low debt ratio, long-term growth concerns and a negative PEG ratio are contributing to the stock's bearish trend.
As of 13-Aug, DJ Mediaprint & Logistics Ltd is experiencing a decline in its stock price, currently at 109.60, reflecting a decrease of 0.55 or 0.5%. The stock has underperformed its sector by 0.45% today and has seen a trend reversal after two consecutive days of gains. It is trading below all key moving averages, indicating a bearish trend. Additionally, the stock has shown poor performance over various periods, with a year-to-date decline of 36.11% compared to a 3.07% increase in the Sensex. While the company has a high return on capital employed (ROCE) of 27.37% and a low debt to EBITDA ratio of 0.88, which suggests strong management efficiency and debt servicing ability, these positives are overshadowed by a significant long-term growth issue, as operating profit has decreased at an annual rate of 24.02% over the last five years.

In the broader market context, DJ Mediaprint's short-term performance has been notably worse than the benchmark, with a one-week return of -1.70% compared to a negligible change in the Sensex. The stock's liquidity appears adequate, but a significant drop in delivery volume by 59.5% against the five-day average indicates falling investor participation, which could further pressure the stock price. Despite a recent increase in profits, the stock's negative PEG ratio of 1.8 and a very expensive valuation relative to its peers suggest that investors are cautious, contributing to the stock's downward movement.
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