Why is Reliance Infra. falling/rising?

Jul 18 2025 09:11 PM IST
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As of 18-Jul, Reliance Infrastructure Ltd is priced at 390.70, down 1.13%. Despite recent declines, the stock has shown strong long-term performance with a 107.49% return over the past year, outperforming the Sensex, and has favorable financial metrics.
As of 18-Jul, Reliance Infrastructure Ltd is currently priced at 390.70, reflecting a decline of 4.45 points or 1.13%. The stock has been underperforming its sector, with a performance today that is down by 0.43%. It has experienced consecutive falls over the last two days, resulting in a total drop of 2.41%. Despite this recent downturn, the stock has shown strong performance over the past year, with a return of 107.49%, and has outperformed the benchmark Sensex, which has only increased by 0.51% during the same period. Positive factors contributing to the stock's overall strength include a high return on capital employed (ROCE) of 44.10%, a low debt-equity ratio of 0.44, and a significant increase in promoter confidence, as they have raised their stake by 2.55%.

In the broader market context, Reliance Infrastructure's short-term performance contrasts with the benchmark Sensex, which has declined by 0.90% over the past week while the stock itself has risen by 3.51%. This indicates that despite the recent price drop, the stock has been performing well relative to the market in the near term. The stock's strong long-term performance, with a staggering 281.73% increase over three years, further highlights its resilience and attractiveness to investors, especially given its favorable valuation metrics compared to peers. However, the recent price decline suggests that market sentiment may be cautious, possibly due to the stock's recent underperformance in the sector.
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