Why is LGB Forge falling/rising?

Sep 23 2025 11:02 PM IST
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As of 23-Sep, LGB Forge Ltd's stock price is 9.66, having risen 0.52% recently. Despite short-term gains, its year-to-date performance is down 41.45%, indicating long-term fundamental weaknesses.
As of 23-Sep, LGB Forge Ltd's stock price is currently at 9.66, reflecting a rise of 0.05 or 0.52%. The stock has shown a positive trend recently, gaining for the last four consecutive days with a total return of 3.21% during this period. It has outperformed its sector by 1.33% today. However, despite these short-term gains, the stock's year-to-date performance remains significantly negative at -41.45%. The company has reported positive results over the last three quarters, with notable increases in operating cash flow and operating profit margins, yet it faces challenges with weak long-term fundamentals, including a low return on capital employed and high debt levels.

In the broader market context, LGB Forge's short-term return of +2.55% over the past week contrasts sharply with the Sensex, which has declined by 0.34% during the same period. This indicates that the stock is performing well relative to the overall market. However, the stock's long-term performance is concerning, as it has underperformed the benchmark over the past month and year, with a -1.43% return compared to the Sensex's +0.98% and a +1.68% return against the Sensex's -3.33% over the last year. This mixed performance suggests that while there are positive short-term movements, the long-term outlook remains uncertain due to fundamental weaknesses.
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