Why is Huhtamaki India falling/rising?

Aug 20 2025 10:34 PM IST
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As of 20-Aug, Huhtamaki India Ltd's stock price is at 219.55, having increased by 2.05% recently. Despite short-term gains, the stock has underperformed over the past month and year, with significant declines in profits and long-term growth outlook, indicating weak fundamentals.
As of 20-Aug, Huhtamaki India Ltd's stock price is currently at 219.55, reflecting an increase of 4.4, or 2.05%. The stock has been gaining for the last two days, with a total return of 3.66% during this period. It outperformed its sector by 3.7% today and reached an intraday high of Rs 221.7. However, despite this recent uptick, the stock has underperformed over the past month with a decline of 3.71%, and a significant drop of 49.87% over the past year. The company's financial health shows a strong ability to service debt with a low Debt to EBITDA ratio of 1.19 times, but it has also faced challenges, including a 33.5% fall in profits over the past year and a poor long-term growth outlook, with net sales declining at an annual rate of -0.36%.

In the broader market context, Huhtamaki India has outperformed the Sensex in the short term, with a 1.93% gain over the past week compared to the benchmark's 1.64%. However, the stock's long-term performance is concerning, as it has significantly lagged behind the market, which has seen a positive return of 4.76% year-to-date, while Huhtamaki India has dropped by 18.91%. Additionally, there has been a decrease in institutional investor participation, which may indicate a lack of confidence in the stock's future performance. Overall, while the recent price increase may suggest a short-term recovery, the underlying fundamentals and long-term growth prospects remain weak.
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