Why is Inox Green falling/rising?

Sep 12 2025 11:13 PM IST
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As of 12-Sep, Inox Green Energy Services Ltd is priced at 171.45, down 0.41%. Despite a recent short-term gain of 11.99%, the stock has significant long-term challenges, including negative operating profits and declining institutional investor confidence.
As of 12-Sep, Inox Green Energy Services Ltd is currently priced at 171.45, reflecting a decrease of 0.7 or 0.41%. The stock has recently underperformed its sector by 0.65% and has experienced a trend reversal, falling after five consecutive days of gains. Despite this, Inox Green is trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating some positive momentum. Over the past week, the stock has increased by 11.99%, although it has a year-to-date decline of 3.11% and a significant one-year drop of 19.18%. The company faces challenges, including weak long-term fundamental strength with a staggering -400.67% CAGR growth in operating profits over the last five years and a poor EBIT to interest ratio of -0.10, which raises concerns about its ability to service debt.

Broader market context shows that while the stock has outperformed the benchmark Sensex in the short term, gaining 11.99% over the past week compared to the Sensex's 1.48%, it has underperformed over the longer term, with a one-year return of -19.18% against the Sensex's -1.28%. Additionally, there has been a decrease in institutional investor participation, with a 4.13% reduction in their stake, which may indicate a lack of confidence in the company's future prospects. The stock's performance is further complicated by its negative operating profits and low profitability metrics, suggesting that while there may be short-term gains, the long-term outlook remains precarious.
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