Why is Mitcon Consult. falling/rising?
As of 15-Oct, Mitcon Consultancy & Engineering Services Ltd's stock price is 63.81, down 2.65%, and has significantly underperformed its sector and the broader market. The company faces declining profits, low ROCE, and weak long-term growth prospects, contributing to investor concerns and reduced trading liquidity.
As of 15-Oct, Mitcon Consultancy & Engineering Services Ltd is experiencing a decline in its stock price, currently at 63.81, which reflects a decrease of 1.74 or 2.65%. The stock has underperformed its sector today by 1.93%, and it is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages. Over the past week, the stock has dropped by 5.86%, and it has shown a significant decline of 46.69% over the past year, indicating a troubling trend. Additionally, the company has reported a decrease in profits by 39% over the past year, and its Return on Capital Employed (ROCE) is low at 8.7, contributing to a perception of weak long-term fundamental strength.In the broader market context, the Sensex has increased by 1.11% over the past week, contrasting sharply with Mitcon's performance. This divergence highlights the stock's struggles relative to the market, as it has underperformed not only in the short term but also over longer periods, including a 43.77% decline year-to-date compared to the Sensex's 7.10% gain. The company's weak long-term growth, evidenced by a low annual sales growth rate of 1.17% over the last five years and a high Debt to EBITDA ratio of 4.81 times, further exacerbates investor concerns, leading to reduced participation and liquidity in trading.
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