Why is Haryana Leather falling/rising?

Dec 03 2025 12:37 AM IST
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On 02-Dec, Haryana Leather Chemicals Ltd witnessed a notable decline in its share price, falling by 4.06% to close at ₹68.12. This drop reflects a continuation of the stock's underperformance relative to key benchmarks and sector peers, underscoring investor caution amid prevailing market conditions.




Recent Price Movement and Market Comparison


Haryana Leather’s share price has been under pressure over multiple time frames. In the past week, the stock declined by 6.02%, contrasting sharply with the Sensex’s modest gain of 0.65%. The one-month performance further emphasises this divergence, with Haryana Leather falling 10.84% while the Sensex advanced 1.43%. Year-to-date figures reveal a more pronounced gap: the stock is down 20.83%, whereas the Sensex has risen by 8.96%. Even over a one-year horizon, Haryana Leather’s shares have lost 20.08%, while the benchmark index gained 6.09%. These figures highlight a sustained period of underperformance against the broader market.


Despite this recent weakness, it is worth noting that Haryana Leather has delivered strong returns over longer periods. The stock has appreciated by 65.14% over three years and an impressive 142.42% over five years, outperforming the Sensex’s respective gains of 35.42% and 90.82%. This suggests that while short-term sentiment is negative, the company has demonstrated solid growth potential historically.



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Technical Indicators and Trading Activity


On 02-Dec, Haryana Leather’s intraday low reached ₹66.05, representing a 6.97% drop from previous levels. The weighted average price indicates that a significant volume of shares traded closer to this lower price point, signalling selling pressure throughout the session. Furthermore, the stock is trading below all major moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. This technical positioning typically suggests a bearish trend, as the stock has failed to sustain levels above these key support markers.


Interestingly, investor participation has increased, with delivery volume on 01 Dec rising by 19.78% compared to the five-day average. This heightened activity could indicate that more investors are either exiting positions or repositioning in response to the recent price weakness. Despite this, liquidity remains adequate, allowing for reasonable trade sizes without significant price disruption.


Sector and Market Context


Haryana Leather’s performance today also lagged behind its sector peers, underperforming by 4.02%. This relative weakness within the commodity chemicals segment may reflect sector-specific challenges or company-specific concerns impacting investor sentiment. The absence of positive or negative dashboard data limits insight into fundamental catalysts, but the technical and volume data clearly point to a cautious market stance.



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Investor Takeaway


In summary, Haryana Leather Chemicals Ltd is experiencing a notable decline in its share price as of 02-Dec, driven by underperformance relative to the Sensex and its sector, bearish technical indicators, and increased selling volume. While the stock has shown strong long-term returns, the current trend suggests caution for investors, particularly given its failure to hold above key moving averages and the negative momentum observed over recent weeks and months.


Investors should closely monitor upcoming market developments and company-specific news to assess whether this downtrend will persist or if a recovery phase might emerge. Given the stock’s liquidity and rising investor participation, price movements could remain volatile in the near term.





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