Why is Integra Essentia falling/rising?

Sep 05 2025 09:55 PM IST
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As of 05-Sep, Integra Essentia Ltd's stock price is at 1.90, down 1.04%, and has declined 52.74% over the past year. Despite attractive valuation metrics, the company's weak fundamentals and inability to service debt indicate a negative long-term outlook.
As of 05-Sep, Integra Essentia Ltd's stock price is currently at 1.90, reflecting a decrease of 0.02 or 1.04%. The stock has underperformed its sector today by 0.6%, marking its consecutive decline over the last two days with a total drop of 1.55%. It is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish trend. Over the past year, the stock has seen a significant decline of 52.74%, with profits plummeting by 88%. Despite a very attractive valuation indicated by a ROCE of 0.7 and a low enterprise value to capital employed ratio, the company's weak long-term fundamentals, including a -51.64% CAGR growth in operating profits over the last five years, contribute to its negative price movement.

In the broader market context, the stock's short-term performance shows a 0.53% increase over the past week, while the benchmark Sensex has risen by 1.13%. However, the stock has underperformed the benchmark significantly over the longer term, with a 42.60% decline year-to-date compared to a 3.29% increase in the Sensex. This underperformance is compounded by the company's inability to service its debt effectively, as indicated by a poor EBIT to interest ratio of 1.68, and a low return on equity of 7.73%. Overall, these factors suggest that while there may be some short-term fluctuations, the long-term outlook for Integra Essentia remains weak, leading to its current decline in stock price.
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