Why is Goodyear India falling/rising?
As of 12-Nov, Goodyear India Ltd's stock price is 952.25, down 2.65% and underperforming with a 3.42% decline over the past week. Despite strong management efficiency, the stock faces challenges due to poor long-term growth and negative recent results, contrasting sharply with the broader market's positive performance.
As of 12-Nov, Goodyear India Ltd's stock price is currently at 952.25, reflecting a decrease of 25.9 points or 2.65%. The stock has been underperforming, having fallen consecutively for the last two days, with a total decline of 2.85% during this period. It has also touched an intraday low of Rs 942.8, indicating significant selling pressure. Over the past week, the stock has decreased by 3.42%, and its year-to-date performance shows a decline of 5.23%. Despite a high management efficiency indicated by a return on equity (ROE) of 16.15% and a low debt-to-equity ratio, the company has faced challenges, including a poor long-term growth rate in operating profit and negative recent financial results, which have contributed to the stock's downward movement.In the broader market context, Goodyear India's performance contrasts sharply with the Sensex, which has gained 1.21% over the past week and 8.10% year-to-date. This underperformance is further highlighted by the stock's negative returns over various periods, including a 6.75% decline over the past year, while the benchmark has shown positive growth. The stock's high valuation, trading at a premium compared to its peers, alongside a significant drop in profits, has led to a lack of investor confidence, resulting in its current price decline.
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