Why is Restaurant Brand falling/rising?
As of 09-Oct, Restaurant Brands Asia Ltd's stock price is Rs 71.20, down 4.16%, with a significant decline of 9.82% over the last four days and 8.78% over the past week. The company faces financial instability, reflected in a 0% average ROCE and a high Debt to EBITDA ratio, contributing to its consistent underperformance against market benchmarks.
As of 09-Oct, Restaurant Brands Asia Ltd is experiencing a decline in its stock price, currently at Rs 71.20, which reflects a decrease of 3.09 (-4.16%). The stock has been underperforming significantly, having fallen for four consecutive days with a total return of -9.82% during this period. It has also underperformed its sector by 3.96% today. The stock's performance over the past week shows a decline of 8.78%, and it has dropped 10.90% over the past month. Additionally, the company has a weak long-term fundamental strength, indicated by an average Return on Capital Employed (ROCE) of 0% and a high Debt to EBITDA ratio of 5.02 times. This financial instability, coupled with a negative operating profit situation, contributes to the stock's recent downward movement.In the broader market context, the stock's short-term performance is notably poor compared to the benchmark, with the Sensex gaining 1.47% over the past week while Restaurant Brands has lost 8.78%. This consistent underperformance against the benchmark over the last three years, alongside a significant drop of 32.83% in the past year, highlights the challenges the company faces in attracting investor confidence. Furthermore, the falling investor participation, as evidenced by a 28.06% decrease in delivery volume compared to the five-day average, suggests a lack of interest in the stock, further exacerbating its decline.
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