Why is DMR Hydroengg. falling/rising?
As of 15-Jul, DMR Hydroengineering & Infrastructures Ltd is seeing a price increase to Rs 170.00, with a recent strong performance but concerns over long-term fundamentals due to lack of results and weak debt servicing ability. Despite outperforming the benchmark Sensex recently, its year-to-date performance remains modest compared to the index.
As of 15-Jul, DMR Hydroengineering & Infrastructures Ltd is experiencing a price increase, currently at Rs 170.00, reflecting a change of 2.0 (1.19%) upward. The stock has shown strong performance recently, gaining 16.6% over the last four days and outperforming its sector by 0.68% today. It opened with a significant gain of 5.42% and reached an intraday high of Rs 177.1. Despite this positive movement, the company has not declared results in the last six months, which raises concerns about its long-term fundamental strength. Additionally, the company's ability to service its debt is weak, indicated by a poor EBIT to Interest ratio of 1.28, and it has a high PEG ratio of 6.6, suggesting an expensive valuation.In the broader market context, DMR Hydroengineering has significantly outperformed the benchmark Sensex over the past week and month, with returns of +16.16% and +40.50%, respectively, while the Sensex has declined by -1.36% and increased by only +1.79% during the same periods. However, the stock's year-to-date performance is modest at +3.98%, lagging behind the Sensex's +5.67%. This disparity highlights the stock's volatility and the potential for short-term gains amidst underlying weaknesses in its financial fundamentals.
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