Why is Guj. Lease Fin. falling/rising?

Jul 09 2025 09:41 PM IST
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As of 09-Jul, Gujarat Lease Financing Ltd's stock price is declining at 6.28, down 1.88%, and has underperformed its sector. The stock shows weak long-term fundamentals, with a -34.79% return over the past year and significant drops in investor participation.
As of 09-Jul, Gujarat Lease Financing Ltd is experiencing a decline in its stock price, currently at 6.28, reflecting a decrease of 0.12 or 1.88%. The stock has underperformed its sector by 2.26% today, and it is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. Additionally, there has been a significant drop in investor participation, with delivery volume falling by 36.12% compared to the 5-day average. Over the past year, the stock has generated a return of -34.79%, indicating a weak performance relative to the broader market, which has seen a return of 3.96% during the same period. The company also faces challenges such as a negative book value and poor long-term growth, with net sales growing at an annual rate of 0% and operating profit declining by 6.89%.

In the broader market context, the stock's recent performance contrasts sharply with the benchmark, as it has underperformed significantly over the past year, while the BSE500 index has generated a return of 1.43%. This underperformance is compounded by the company's weak long-term fundamental strength, as indicated by its negative book value and flat results reported in March 2025. The majority of shareholders being non-institutional further adds to the stock's volatility and risk profile, making it a risky investment compared to its historical valuations. Overall, these factors contribute to the stock's current downward trend.
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