Why is Polson falling/rising?

Sep 04 2025 09:11 PM IST
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As of 04-Sep, Polson Ltd. is facing a decline in its stock price, currently at 11,900.00, reflecting a decrease of 1.25%. The stock has underperformed its sector and benchmark significantly, with a year-to-date return of -21.97% and weak long-term fundamentals contributing to negative investor sentiment.
As of 04-Sep, Polson Ltd. is experiencing a decline in its stock price, currently at 11,900.00, which reflects a decrease of 150.9 or 1.25%. Today's price summary indicates that the stock has underperformed its sector by 0.36% and has traded within a narrow range of Rs 10.1. Additionally, Polson is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, suggesting a bearish trend. The stock has also seen a significant drop in investor participation, with delivery volume falling by 80% compared to the 5-day average. Over the past year, Polson has generated a return of -21.97%, indicating consistent underperformance against the benchmark, which has contributed to its negative sentiment among investors.

In the broader market context, Polson's short-term return over the past week is -3.95%, while the Sensex has gained 0.80%, highlighting a stark contrast in performance. This underperformance is compounded by weak long-term fundamentals, including a -1.57% CAGR growth in operating profits over the last five years and a low return on equity of 5.61%. Although the company has a relatively attractive valuation with a ROCE of 5.5 and a PEG ratio of 2.8, these factors have not been sufficient to offset the negative sentiment surrounding the stock. The consistent underperformance against the benchmark over the last three years further exacerbates the situation, leading to a lack of confidence among investors.
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