Why is Huhtamaki India falling/rising?
As of 14-Jul, Huhtamaki India Ltd's stock price is 228.00, down 0.52%, with a year-to-date return of -15.79%. Despite a recent positive monthly return of 10.20%, the stock has underperformed significantly over the past year and faces challenges in profitability and growth outlook.
As of 14-Jul, Huhtamaki India Ltd's stock price is currently at 228.00, reflecting a decrease of 1.2, or 0.52%. The stock has been underperforming, having fallen consecutively for the last two days, resulting in a total decline of 3.1% during this period. Over the past week, the stock has decreased by 1.02%, while its performance over the last month shows a positive return of 10.20%. However, the stock has significantly underperformed over the past year, with a return of -41.69%. The company's financial health is somewhat stable, indicated by a low Debt to EBITDA ratio of 1.15 times, but it has also faced challenges, such as a decline in net sales and operating profit over the last five years, which has contributed to its poor long-term growth outlook.Broader market context indicates that the stock has underperformed the benchmark index, Sensex, which has shown a return of -1.42% over the past week compared to Huhtamaki's -1.02%. Despite the broader market's positive performance of 5.27% year-to-date, Huhtamaki's year-to-date return stands at -15.79%. The stock's liquidity appears adequate, but a significant drop in delivery volume suggests waning investor interest. Overall, while the stock is trading at a discount compared to its peers, the combination of declining profits and poor long-term growth prospects has led to its recent price decline.
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