Why is Indian Sucrose falling/rising?
As of 10-Sep, Indian Sucrose Ltd is priced at 94.00, showing a slight increase but trading below all moving averages, indicating a bearish trend. The stock has underperformed its sector and benchmark indices, with significant challenges including high debt and declining sales, despite a rise in profits.
As of 10-Sep, Indian Sucrose Ltd is currently priced at 94.00, reflecting a slight increase of 0.01 (0.01%). The stock has recently shown a trend reversal, gaining after two consecutive days of decline. However, it is trading below all its moving averages, indicating a bearish trend. The stock has underperformed its sector by 1.08% today, and over the past week, it has decreased by 3.59%. Despite a year-on-year return of -18.33%, the company's profits have risen by 11%, and it has a very attractive valuation with a PEG ratio of 0.4. Nonetheless, the stock faces challenges due to a high Debt to EBITDA ratio of 2.59 times and poor long-term growth metrics, including a significant decline in net sales and profit before tax.In the broader market context, the Sensex has increased by 1.06% over the past week, contrasting with Indian Sucrose's decline. This underperformance is evident as the stock has lagged behind the benchmark indices over various periods, including a -21.50% return year-to-date compared to the Sensex's 4.21%. The falling investor participation, with a 46.18% drop in delivery volume, further reflects a lack of confidence among investors, contributing to the stock's struggles in the current market environment.
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