Why is Oriental Rail falling/rising?

Jul 07 2025 08:51 PM IST
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As of 07-Jul, Oriental Rail Infrastructure Ltd's stock price is Rs 180.95, down 2.35%, with a significant annual loss of 41.91% and concerning financial health indicated by a high Debt to EBITDA ratio. Despite a recent weekly gain of 4.14%, the stock has underperformed its sector and shows declining investor confidence.
As of 07-Jul, Oriental Rail Infrastructure Ltd's stock price is currently at Rs 180.95, reflecting a decrease of Rs 4.35 or 2.35%. The stock has been underperforming, having fallen consecutively for the last two days with a total decline of 3.24%. It also touched an intraday low of Rs 178, indicating a significant drop in investor confidence. The stock's performance over the past week shows a gain of 4.14%, but it has generated a substantial loss of 41.91% over the past year. The company's financial health is concerning, highlighted by a high Debt to EBITDA ratio of 5.02 times and a decline in profits by 2.7% over the past year. Additionally, domestic mutual funds hold no stake in the company, which may suggest a lack of confidence in its future prospects.

In the broader market context, while the Sensex has shown a slight decline of 0.20% over the past week, Oriental Rail's recent performance has been notably worse, underperforming its sector by 2.56%. The stock's liquidity appears adequate, but the significant drop in delivery volume by 61.35% against the 5-day average indicates waning investor interest. Despite the stock trading at a discount compared to its peers, the overall sentiment remains negative due to poor long-term growth prospects and flat financial results, which have contributed to its recent price decline.
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