Why is Syncom Formul. falling/rising?
As of 12-Aug, Syncom Formulations (India) Ltd's stock price is declining at 17.70, down 2.21%, and has underperformed its sector. Despite positive quarterly results, long-term growth challenges and recent underperformance against benchmarks indicate waning investor confidence.
As of 12-Aug, Syncom Formulations (India) Ltd is experiencing a decline in its stock price, currently at 17.70, which represents a decrease of 0.4 or 2.21%. The stock has underperformed its sector by 2.59% today and has been on a consecutive fall for the last two days, totaling a decline of 3.7% in that period. Additionally, the stock is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages. While the company has shown positive results over the last five consecutive quarters, with net sales growing at 64.23% and a profit after tax increase of 27.2%, it also faces significant long-term growth challenges, as evidenced by a -63.92% annual growth rate in net sales over the past five years.In the broader market context, the stock's short-term performance has been notably weaker than the benchmark, with a 1-week return of -2.59% compared to the Sensex's -0.59%. Despite generating a 10.76% return over the past year, the stock's long-term growth concerns, coupled with a high price-to-book value ratio and a lack of domestic mutual fund investment, suggest that investor confidence may be waning. This combination of short-term underperformance and long-term growth issues likely contributes to the stock's current downward trend.
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