Why is Huhtamaki India falling/rising?

Oct 23 2025 10:51 PM IST
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As of 23-Oct, Huhtamaki India Ltd's stock price is 270.20, with a recent gain of 1.7 (0.63%) and a total return of 2.06% over the last two days. Despite short-term gains, the company faces long-term challenges with declining sales and profit, and has underperformed the broader market over the past year.
As of 23-Oct, Huhtamaki India Ltd's stock price is currently at 270.20, reflecting an increase of 1.7 (0.63%). The stock has been gaining for the last two days, with a total return of 2.06% during this period. Despite this short-term positive movement, the stock has underperformed its sector by 2% today. Over the past week, Huhtamaki India has shown a return of +5.53%, significantly outperforming the Sensex, which returned +1.30%. However, the company faces challenges with a long-term negative growth trend, as evidenced by a decline in net sales and operating profit over the past five years. While the company reported a strong net profit growth of 47.43% and a low Debt to EBITDA ratio, the overall negative sentiment is compounded by a decrease in institutional investor participation and a significant underperformance over the past year.

Broader market context indicates that while Huhtamaki India has performed well in the short term, it has lagged behind the broader market over the last year, generating a return of -18.11% compared to the BSE500's +3.59%. The stock's recent gains may be attributed to positive quarterly results and strong debt servicing ability, but the long-term outlook remains concerning due to poor growth metrics and falling institutional interest. The packaging sector has seen a gain of 2.88%, which may provide some support for Huhtamaki India; however, the overall market dynamics and the company's historical performance suggest that caution is warranted.
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