Why is Reliance Home falling/rising?
As of 25-Jul, Reliance Home Finance Ltd's stock price is at 4.49, down 4.87%, with a significant weekly decline of 15.60%. Despite positive quarterly results, the stock is affected by negative long-term fundamentals and has underperformed compared to the broader market and its sector.
As of 25-Jul, Reliance Home Finance Ltd's stock price is currently at 4.49, reflecting a decrease of 0.23, or 4.87%. The stock has underperformed its sector today by 2.5%, and its performance over the past week shows a significant decline of 15.60%. Although the company has reported positive results for the last three consecutive quarters, with a notable growth in PAT, it faces challenges due to a negative book value and poor long-term growth metrics, including a drastic decline in net sales and operating profit. This combination of positive quarterly results and negative long-term fundamentals contributes to the stock's recent downward movement.In the broader market context, the stock's performance has been notably weaker compared to the benchmark, with a year-to-date return of 10.86% against the Sensex's 4.25%. Over the past month, the stock has declined by 31.76%, while the Sensex has only fallen by 1.56%. The finance sector, particularly housing, has also experienced a downturn, falling by 2.37%. Despite rising investor participation indicated by a significant increase in delivery volume, the overall market sentiment and the company's fundamental weaknesses are likely influencing the stock's current decline.
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