Why is Indian Terrain falling/rising?

Sep 12 2025 09:28 PM IST
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As of 12-Sep, Indian Terrain Fashions Ltd's stock price is declining at 33.15, down 2.59%, and has underperformed its sector and benchmarks significantly. The company shows weak fundamentals, with a low ROCE and poor growth metrics, indicating ongoing struggles in the market.
As of 12-Sep, Indian Terrain Fashions Ltd is experiencing a decline in its stock price, currently at 33.15, reflecting a decrease of 0.88 or 2.59%. The stock has underperformed its sector today by 1.88% and has been on a consecutive downward trend for the last two days, with a total return of -3.18% during this period. Additionally, the stock is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish trend. The delivery volume has also decreased significantly, falling by 35.85% against the 5-day average, suggesting reduced investor interest. The company's long-term fundamentals are weak, with a low Return on Capital Employed (ROCE) of 3.02% and a concerning EBIT to Interest ratio of 0.06, which raises doubts about its ability to service debt. Furthermore, the stock has consistently underperformed against benchmarks, with a staggering -42.46% return over the past year.

In the broader market context, while Indian Terrain has seen a decline of 9.38% over the past month and 30.58% year-to-date, the benchmark Sensex has shown positive movements, gaining 2.08% in the last month and 4.82% year-to-date. This stark contrast highlights the stock's significant underperformance relative to the market. The increasing participation of institutional investors, who have raised their stake by 0.63%, may provide some support; however, the overall negative operating profits and poor growth metrics overshadow this positive factor. The company's inability to generate positive returns in comparison to the benchmark over the last three years further emphasizes its struggles in the current market environment.
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