Why is Landmark Cars falling/rising?
As of 27-Jun, Landmark Cars Ltd's stock price is Rs 530.75, down 2.82%, significantly underperforming its sector and the broader market. The company faces challenges with a 67.2% profit decline and high debt levels, contributing to its weak long-term outlook.
As of 27-Jun, Landmark Cars Ltd is experiencing a decline in its stock price, currently at Rs 530.75, which represents a decrease of Rs 15.4 or 2.82%. Today's price summary indicates that the stock has underperformed its sector by 3.5% and opened with a loss of 2.77%. It has also touched an intraday low of Rs 527.55, reflecting a drop of 3.41%. Over the past week, the stock has shown a modest gain of 0.64%, but it has significantly underperformed over the last year with a return of -26.31%. The company's profits have fallen sharply by 67.2%, and despite a fair valuation indicated by a ROCE of 6.6, the stock is trading at a discount compared to its peers. Additionally, the high Debt to EBITDA ratio of 3.24 times raises concerns about its ability to service debt, contributing to its weak long-term fundamental strength.In the broader market context, the Sensex has increased by 2.00% over the past week, while Landmark Cars has only managed a slight gain, indicating a significant underperformance relative to the market. The stock's year-to-date performance shows a decline of 15.35%, contrasting sharply with the Sensex's gain of 7.58%. This underperformance is further highlighted by the company's weak operating profit growth of -22.40% CAGR over the last five years and a recent PAT decline of 77.8%. High institutional holdings at 23.45% suggest that knowledgeable investors are cautious about the stock's prospects, which may be influencing its current downward trend.
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