Why is Shish Industries falling/rising?
As of 29-Jul, Shish Industries Ltd's stock price is Rs 7.54, down 1.57%, and has significantly underperformed its sector and the benchmark Sensex. Despite strong long-term sales growth and low debt levels, the stock's recent performance is hindered by a low return on capital and a year-to-date decline of 42.44%.
As of 29-Jul, Shish Industries Ltd is experiencing a decline in its stock price, currently at Rs 7.54, down by Rs 0.12 or 1.57%. The stock has underperformed its sector by 2.35% today and is trading below all key moving averages, indicating a bearish trend. Over the past week, the stock has decreased by 2.20%, and it has also shown significant underperformance over the last year with a return of -41.78%. Despite a healthy long-term growth in net sales at an annual rate of 32.46% and a strong ability to service debt with a low Debt to EBITDA ratio of 1.19 times, the stock's recent performance has been hampered by flat results and a low return on capital employed (ROCE) of 5.1%.In the broader market context, Shish Industries' recent performance contrasts with the benchmark Sensex, which has seen a decline of only 1.03% over the past week. The stock's year-to-date performance is particularly concerning, with a staggering drop of 42.44% compared to the Sensex's gain of 4.09%. This stark difference highlights the challenges faced by Shish Industries, including below-par performance in both the near and long term, as evidenced by its significant underperformance against the BSE500 over various time frames. The combination of these factors suggests that investor sentiment remains negative, contributing to the stock's downward movement.
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