Why is Stove Kraft falling/rising?

Aug 28 2025 10:55 PM IST
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As of 28-Aug, Stove Kraft Ltd's stock price is Rs 638.80, down 3.15% and has underperformed with a 26.57% year-to-date decline. Despite some recent institutional interest, the stock's long-term growth prospects are weak, reflected in its negative annual operating profit growth and poor one-year return of -22.02%.
As of 28-Aug, Stove Kraft Ltd's stock price is currently at Rs 638.80, reflecting a decline of Rs 20.8 or 3.15%. The stock has been underperforming, having fallen consecutively for the last two days, resulting in a total drop of 5.5% during this period. Today's trading activity indicates that the stock touched an intraday low of Rs 636 and has experienced a significant decrease in delivery volume, down by 63.05% compared to the five-day average. Over the past week, the stock has decreased by 1.77%, while it has shown a more positive return of 7.18% over the last month. However, the stock's year-to-date performance remains poor, with a decline of 26.57%. Despite an attractive valuation and a recent increase in institutional investor participation, the stock's long-term growth prospects appear weak, as evidenced by a negative annual growth rate in operating profit over the last five years.

In the broader market context, Stove Kraft's recent performance contrasts with the benchmark Sensex, which has declined by 2.34% over the past week. The stock's underperformance is further highlighted by its one-year return of -22.02%, significantly worse than the BSE500's decline of -5.01%. This suggests that while the overall market has faced challenges, Stove Kraft has struggled even more, indicating a lack of investor confidence. The combination of flat quarterly results, declining sales, and a high PEG ratio of 2.7 raises concerns about the company's growth potential, contributing to the stock's downward trajectory.
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