Why is Suryaamba Spinni falling/rising?
As of 24-Sep, Suryaamba Spinning Mills Ltd's stock price is Rs 139.90, up 2.04%. Despite recent gains and positive quarterly profits, the stock has underperformed over the long term and shows declining investor interest.
As of 24-Sep, Suryaamba Spinning Mills Ltd's stock price is currently at Rs 139.90, reflecting an increase of Rs 2.8 or 2.04%. Today's price summary indicates that the stock has outperformed its sector by 2.47% and has experienced a trend reversal after three consecutive days of decline. It opened with a significant gain of 9.66% and reached an intraday high of Rs 150.35. However, the stock is trading below its moving averages across various time frames, and there has been a notable decline in investor participation, with delivery volume dropping by 84.96% compared to the five-day average. Despite a year-to-date return of -11.43% and a one-year return of -12.62%, the company has reported positive results over the last three quarters, with profits rising by 40.7%, contributing to a more attractive valuation relative to its peers.In the broader market context, Suryaamba Spinning Mills has shown a short-term return of -0.78% over the past week, which is better than the benchmark Sensex's decline of -1.18%. However, the stock has consistently underperformed against the benchmark over the last three years, with a significant -31.25% return compared to the Sensex's +40.65%. This underperformance, coupled with weak long-term fundamental strength indicated by a -4.91% CAGR growth in operating profits over the last five years, raises concerns about the stock's sustainability despite its recent positive price movement.
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