Why is Goenka Business falling/rising?
As of 24-Sep, Goenka Business & Finance Ltd's stock price is 9.77, down 1.21%. Despite short-term outperformance, long-term fundamentals are weak, with significant profit declines and a low return on equity, leading to a perception of the stock as a strong sell.
As of 24-Sep, Goenka Business & Finance Ltd's stock price is currently at 9.77, reflecting a decrease of 0.12 or 1.21%. The stock has shown mixed performance in recent periods, with a 1-week return of 0.93% and a 1-month return of 7.72%, outperforming the Sensex, which has declined by 1.18% and increased by 0.50% respectively. However, the stock has underperformed its sector today by 1.12%. Additionally, the stock's delivery volume has decreased by 13.71% compared to the 5-day average, indicating falling investor participation. Despite a year-to-date decline of 49.51%, the stock has managed to generate a 10.02% return over the past year, although this is overshadowed by a significant drop in profits, with a return on equity of only 2.39% and negative results for the last three consecutive quarters.In the broader market context, the stock's recent performance contrasts with the overall market, as the BSE500 has reported a negative return of 5.32% over the past year. While Goenka Business has outperformed the benchmark in the short term, the long-term fundamentals appear weak, with stagnant net sales growth and a high valuation relative to peers. The company's financial struggles, including a significant decline in profits and a low return on equity, contribute to a perception of the stock as a strong sell, which may be influencing its current price decline.
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