Why is Indo Euro Indch. falling/rising?
As of 22-Sep, Indo Euro Indchem Ltd's stock price is 12.98, up 1.88% today, but it faces long-term challenges with weak fundamentals and significant underperformance against benchmarks. Despite recent short-term gains, the overall outlook remains precarious due to declining delivery volumes and negative financial indicators.
As of 22-Sep, Indo Euro Indchem Ltd's stock price is currently at 12.98, reflecting an increase of 0.24 or 1.88%. The stock has shown a positive performance today, outperforming its sector by 2.12%. Over the past week, it has gained 3.84%, and in the last month, it has risen by 19.08%. However, the stock has been facing challenges, as indicated by a significant drop in delivery volume, which fell by 30.08% against the 5-day average. Additionally, the company's long-term fundamentals are weak, with an average Return on Equity (ROE) of only 3.98% and a concerning EBIT to Interest ratio of 0.13, suggesting difficulties in servicing its debt. The stock has also consistently underperformed against benchmarks over the last three years, with a year-to-date decline of 19.83%.In the broader market context, the stock's short-term performance has been notably stronger than the benchmark, with a 1-week return of 3.84% compared to the Sensex's 0.46%. Despite this short-term outperformance, the stock's long-term trajectory remains troubling, as it has generated a return of -7.35% over the past year, while the Sensex has only declined by 2.82%. This consistent underperformance, coupled with weak sales growth and negative EBITDA, indicates that while there may be short-term gains, the overall outlook for Indo Euro Indchem Ltd remains precarious.
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