Why is Nahar Spinning falling/rising?
As of 15-Sep, Nahar Spinning Mills Ltd's stock price is at 215.45, down 0.25%. Despite a recent profit increase of 207.7%, the stock has significantly underperformed over the year with a 30.63% decline, largely due to high debt levels and consistent underperformance against market benchmarks.
As of 15-Sep, Nahar Spinning Mills Ltd's stock price is currently at 215.45, reflecting a decrease of 0.55, or 0.25%. The stock has been underperforming, having fallen for the last two days with a total decline of 0.32% during this period. While the stock has shown a positive return of 8.08% over the past month, it has significantly underperformed over the year, with a decline of 30.63%. The company has reported strong growth in profits, with a 207.7% increase in profits over the past year, yet it struggles with a high Debt to EBITDA ratio of 6.13 times, indicating low ability to service its debt. This combination of strong short-term profit growth and ongoing debt concerns contributes to the stock's recent downward movement.In the broader market context, the stock's performance over the past week has been slightly lower than the benchmark Sensex, which has increased by 1.24% compared to the stock's 1.06% gain. The stock's long-term performance has been concerning, with a significant decline of 37.69% over the past three years, while the benchmark has gained 36.46% in the same period. This consistent underperformance against the benchmark, coupled with the company's challenges in servicing debt and low profitability, suggests that investor sentiment may be cautious, contributing to the stock's recent decline.
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