Why is Source Natural falling/rising?

Aug 28 2025 10:03 PM IST
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As of 28-Aug, Source Natural Foods & Herbal Supplements Ltd is seeing a price increase to 141.95, up 4.07%, but has a year-to-date decline of 26.45%. Despite strong recent sales growth and positive quarterly results, long-term performance concerns and decreased investor participation suggest caution.
As of 28-Aug, Source Natural Foods & Herbal Supplements Ltd is experiencing a price increase, currently at 141.95, reflecting a rise of 5.55 or 4.07%. The stock opened with a significant gain of 8.87% today and reached an intraday high of Rs 148.5. Despite this positive movement, the stock has shown a year-to-date decline of 26.45% and a one-year drop of 36.49%. The company has reported positive results for the last seven consecutive quarters, with net sales growing by 87.93% over the latest six months. Additionally, the stock is trading at a discount compared to its peers, supported by a favorable PEG ratio of 0.5, indicating potential value despite its recent underperformance.

In the broader market context, the stock has outperformed the Sensex by 4.91% today, contrasting with the benchmark's decline of 2.34% over the past week. However, the stock's long-term performance remains concerning, with a 12.71% CAGR growth in operating profits over the last five years, which is below par. The falling investor participation, as indicated by a 34.12% decrease in delivery volume, raises questions about sustained interest in the stock. Overall, while there are positive short-term movements and strong quarterly results, the long-term fundamentals and recent performance trends suggest caution among investors.
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