Why is Orient Green falling/rising?
As of 09-Jun, Orient Green Power Company Ltd's stock price is Rs 14.53, up 9.41% recently, but it has weak long-term fundamentals with a -7.26% CAGR in operating profits over five years and a high Debt to EBITDA ratio. Despite strong short-term performance, the stock has underperformed over the past year, indicating volatility and challenges in investor confidence.
As of 09-Jun, Orient Green Power Company Ltd's stock price is currently at Rs 14.53, reflecting an increase of Rs 1.25 or 9.41%. The stock has shown strong performance recently, outperforming its sector by 7.74% today and achieving a consecutive gain over the last three days, with a total return of 11.09% during this period. Despite this positive short-term movement, the stock has a weak long-term fundamental strength, evidenced by a -7.26% CAGR growth in operating profits over the last five years and a high Debt to EBITDA ratio of 5.14 times. Additionally, the stock is technically in a mildly bearish range, with indicators suggesting potential weakness ahead.In the broader market context, the stock's one-week return of +9.00% significantly outpaces the Sensex's return of +1.32%, indicating a strong short-term performance relative to the benchmark. However, it is important to note that the stock has underperformed over the past year, with a return of -20.76% compared to the Sensex's +7.50%. This stark contrast highlights the stock's volatility and challenges in maintaining investor confidence, particularly given its low return on equity and high valuation metrics compared to peers.
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