Why is Super Tannery falling/rising?
As of 10-Jul, Super Tannery Ltd's stock price is at 9.13, down 1.4%, and has underperformed its sector. Despite positive net sales and return on capital employed, weak long-term fundamentals and high debt levels have led to a significant year-to-date decline of 22.63%.
As of 10-Jul, Super Tannery Ltd's stock price is currently at 9.13, reflecting a decrease of 0.13, or 1.4%. Today's performance indicates that the stock has underperformed its sector by 3.41% and has experienced a trend reversal after two consecutive days of gains. The stock is trading higher than its 20-day moving average but lower than its 5-day, 50-day, 100-day, and 200-day moving averages. Over the past week, the stock has declined by 0.44%, while it has shown a modest increase of 1.78% over the past month. Despite a significant drop of 22.63% year-to-date, the company reported positive results in net sales and return on capital employed, which are attractive factors. However, the stock's long-term fundamentals are weak, with a low average return on capital employed and high debt levels, contributing to its recent price decline.In the broader market context, the stock's short-term performance has been less favorable compared to the benchmark, with a 1-week decline of 0.44% against a minimal drop of 0.06% in the Sensex. The leather sector has gained by 2.03%, indicating that the overall market sentiment is more positive than that of Super Tannery. The stock has consistently underperformed against the benchmark over the last three years, which has likely influenced investor sentiment negatively. Despite some positive financial indicators, the company's inability to service debt and poor long-term growth prospects have led to a lack of confidence among investors, contributing to the stock's current downward movement.
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