Why is Rathi Bars falling/rising?
As of 12-Sep, Rathi Bars Ltd is experiencing a slight decline in its stock price, currently at 29.31, reflecting a decrease of 0.01 or 0.03%. The stock has underperformed significantly compared to the Sensex and shows weak long-term fundamentals, including declining profitability and high debt levels.
As of 12-Sep, Rathi Bars Ltd is experiencing a slight decline in its stock price, currently at 29.31, reflecting a decrease of 0.01 or 0.03%. The stock has shown poor performance over various periods, with a 1-week return of -0.64% and a 1-month return of -4.65%, significantly underperforming the Sensex, which has gained 1.48% and 2.08% respectively in the same time frames. Today's trading indicates that Rathi Bars is below its moving averages across all time frames, and there has been a notable drop in investor participation, with delivery volume falling by 93.65% compared to the 5-day average. Despite a relatively attractive valuation indicated by a ROCE of 4.8 and trading at a discount to peers, the stock's profits have decreased by 15.6% over the past year, contributing to its negative performance.In the broader market context, Rathi Bars Ltd's recent performance contrasts sharply with the benchmark, as it has underperformed the BSE500 over the last three years, one year, and three months. The company's long-term fundamentals appear weak, with a high Debt to EBITDA ratio of 4.90 times and modest growth rates in net sales and operating profit over the last five years. This combination of factors, including flat results and declining profitability, suggests that the stock is facing significant challenges, leading to its current downward price movement.
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