Why is Landmark Cars falling/rising?

Jul 14 2025 10:58 PM IST
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As of 14-Jul, Landmark Cars Ltd is currently priced at 544.05, reflecting a recent increase but facing significant long-term challenges, including a year-to-date decline of 13.23% and a 67.2% drop in profits. Despite short-term gains, concerns about financial stability and underperformance compared to the market persist.
As of 14-Jul, Landmark Cars Ltd is experiencing a price increase, currently at 544.05, reflecting a rise of 38.15 or 7.54%. The stock has outperformed its sector today by 6.15%, reaching an intraday high of Rs 548.15. Over the past week, the stock has gained 5.12%, and in the last month, it has risen by 8.28%. However, despite this recent uptick, the stock has faced significant challenges, with a year-to-date decline of 13.23% and a one-year drop of 16.35%. The company is trading at a discount compared to its peers, but it has also seen a substantial decrease in profits, down 67.2%, which raises concerns about its long-term viability. Additionally, the stock's high institutional holdings at 23.45% suggest that knowledgeable investors are monitoring its fundamentals closely.

In the broader market context, while Landmark Cars has shown positive short-term returns, the benchmark Sensex has not performed as well in the same timeframe, declining by 1.42% over the past week and gaining only 1.40% over the past month. This indicates that the stock's recent rise is somewhat isolated from the overall market trend. However, the stock's long-term performance remains concerning, with a -22.40% CAGR growth in operating profits over the last five years and a high Debt to EBITDA ratio of 3.24 times, suggesting potential financial instability. Despite today's positive movement, the overall negative sentiment surrounding the company's fundamentals and its significant underperformance compared to the market over the past year may limit its upward momentum.
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