Why is Supreme Facility falling/rising?

Sep 10 2025 11:35 PM IST
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As of 10-Sep, Supreme Facility Management Ltd's stock price is at 40.05, down 1.11%, and has underperformed its sector. Despite a 14% profit increase over the past year, the stock has generated no returns and faces challenges from high debt and weak fundamentals.
As of 10-Sep, Supreme Facility Management Ltd's stock price is currently at 40.05, reflecting a decrease of 0.45, or 1.11%. Today's price summary indicates that the stock has underperformed its sector by 1.26%, with a significant drop in investor participation, as delivery volume has fallen by 97.27% compared to the 5-day average. Despite a higher valuation indicated by a ROCE of 12.5 and a favorable enterprise value to capital employed ratio, the company faces challenges due to high debt and weak long-term fundamental strength. Over the past year, while profits have increased by 14%, the stock has generated a return of 0.00%, and its net sales growth has been modest at an annual rate of 12.90%.

In the broader market context, the stock's short-term performance over the past week shows a gain of 0.38%, which is lower than the Sensex's increase of 1.04%. Over the past month, the stock has performed better with an 8.24% increase compared to the Sensex's 2.50%. However, year-to-date, Supreme Facility has underperformed significantly with a decline of 15.42%, while the Sensex has risen by 5.62%. This disparity highlights the stock's struggles in a generally positive market environment, further exacerbated by its weak ability to service debt, as indicated by a poor EBIT to interest ratio.
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