Why is Neil Industries falling/rising?

Jul 01 2025 08:55 PM IST
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As of 01-Jul, Neil Industries Ltd is priced at 7.90 with no change, having outperformed its sector slightly today but showing significant declines over the past month and year-to-date. The company faces weak fundamentals, low profitability, and a bleak long-term outlook despite a minor recent uptick in investor participation.
As of 01-Jul, Neil Industries Ltd is currently priced at 7.90, with no change in price (0.00%). The stock has outperformed its sector today by 0.64%, and while it is higher than its 5-day moving average, it remains below the 20-day, 50-day, 100-day, and 200-day moving averages. Over the past week, the stock has increased by 2.20%, but it has experienced a significant decline of 14.69% over the past month and a staggering 39.23% year-to-date. The company has a weak long-term fundamental strength, with a negative compound annual growth rate (CAGR) of -14.59% in net sales over the last five years, and a poor EBIT to interest ratio of 1.41, indicating difficulties in servicing its debt. Additionally, the return on equity is low at 2.36%, reflecting low profitability per unit of shareholders' funds.

In the broader market context, the stock's short-term performance has been slightly better than the benchmark, as it has outperformed the Sensex by 0.20% over the past week. However, the stock has underperformed significantly over longer periods, with a one-year return of -54.96% compared to the Sensex's gain of 5.31%. This underperformance is compounded by the company's flat results in March 2025 and a low earnings per share of Rs 0.07, which further diminishes investor confidence. Overall, while there has been a slight uptick in investor participation, the long-term outlook remains bleak, contributing to the stock's continued decline.
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