Why is Speciality Rest. falling/rising?
As of 25-Sep, Speciality Restaurants Ltd is priced at 130.40, down 0.99% and has underperformed the sector. The stock has declined 7.39% year-to-date due to poor growth, significant profit drops, and lack of investor confidence, while also lagging behind the broader market.
As of 25-Sep, Speciality Restaurants Ltd is currently priced at 130.40, experiencing a decline of 1.3, or 0.99%. The stock has been underperforming, having fallen consecutively for the last three days, resulting in a total decrease of 2.98% during this period. Additionally, the stock's performance today has underperformed the sector by 0.58%. Over the past week, the stock has shown a positive return of 4.32%, but it has a year-to-date decline of 7.39%. Key negative factors contributing to this decline include poor long-term growth with net sales growing at only 9.68% annually over the last five years, a significant drop in profit after tax by 25.67%, and a low return on capital employed at 8.90%. Furthermore, the stock is trading at a premium compared to its peers, and domestic mutual funds hold no stake in the company, indicating a lack of confidence in its valuation.Broader Market Context: In comparison to the benchmark, the stock has consistently underperformed, generating a return of -22.40% over the past year while the Sensex has gained 3.87% year-to-date. The stock's performance over the last three years has also been poor, with a decline of 41.55%, contrasting sharply with the benchmark's gain of 39.69%. This consistent underperformance against the broader market, coupled with falling investor participation and liquidity issues, suggests a challenging environment for Speciality Restaurants Ltd, contributing to its recent price decline.
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