Why is Exicom Tele-Sys. falling/rising?
As of 11-Sep, Exicom Tele-Systems Ltd's stock is priced at 145.60, having recently gained 2.1% after a decline, but it has a poor long-term outlook with a year-to-date drop of 41.18% and ongoing operating losses. Despite short-term gains, the stock underperforms against the benchmark Sensex, indicating significant challenges ahead.
As of 11-Sep, Exicom Tele-Systems Ltd's stock is currently priced at 145.60, reflecting an increase of 3.0, or 2.1%. The stock has shown a trend reversal by gaining after four consecutive days of decline, outperforming its sector by 1.97%. It reached an intraday high of Rs 147.8, marking a 3.65% increase. Despite this short-term gain, the stock has a poor long-term performance, with a year-to-date decline of 41.18% and a staggering 59.22% drop over the past year. The company has reported operating losses and negative results for the last four quarters, indicating weak long-term fundamental strength and a high debt-to-EBITDA ratio, which contributes to its risky trading status.In the broader market context, the stock's recent performance contrasts with the benchmark, as it has underperformed the Sensex over various periods, including a 1.39% decline over the past week compared to a 1.03% increase in the Sensex. While the stock has gained in the short term, its long-term outlook remains bleak, with significant losses in profitability and returns. This juxtaposition highlights the challenges Exicom Tele-Systems Ltd faces in maintaining investor confidence despite a temporary uptick in its stock price.
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