Why is Goyal Aluminiums falling/rising?
As of 30-Jul, Goyal Aluminiums Ltd is priced at 7.55, down 1.44%, and has underperformed significantly with a year-to-date return of -25.98%. The stock shows weak long-term growth and declining investor participation, contributing to its expensive valuation and consistent underperformance against the benchmark.
As of 30-Jul, Goyal Aluminiums Ltd is currently priced at 7.55, reflecting a decrease of 0.11, or 1.44%. The stock has been underperforming, having lost 5.03% over the last six days, and is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. Additionally, the stock's delivery volume has decreased by 21.5% compared to the 5-day average, indicating falling investor participation. The company has shown poor long-term growth, with net sales growing at an annual rate of only 5.40% and operating profit at 13.20% over the past five years. With a return on equity of 12.3 and a high price-to-book value of 5.1, the stock is considered to have an expensive valuation, further contributing to its recent decline.In the broader market context, Goyal Aluminiums has underperformed against the benchmark, with a year-to-date return of -25.98% compared to the Sensex's gain of 4.28%. Over the past year, the stock has generated a return of -19.42%, while the Sensex has remained nearly flat at 0.03%. This consistent underperformance against the benchmark over the last three years highlights the challenges faced by the company, as it has not only lagged behind the market but has also seen a significant decline in profits, falling by 36% over the same period.
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