Why is TCI Finance falling/rising?

Jun 30 2025 09:04 PM IST
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As of 30-Jun, TCI Finance Ltd's stock price is 15.65, up 4.96%, with strong recent performance but facing challenges like a negative book value and declining net sales. Despite outperforming the market recently, the company's long-term growth outlook remains negative.
As of 30-Jun, TCI Finance Ltd's stock price is currently at 15.65, reflecting an increase of 0.74 or 4.96%. The stock has shown strong performance recently, gaining 10.21% over the last two days and outperforming its sector by 4.44% today. It is trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating positive momentum. Additionally, the company reported positive results for the last six months, with a higher profit after tax of Rs 4.29 crore and the highest quarterly earnings per share at Rs 3.52. However, the stock also faces challenges, including a negative book value and weak long-term fundamental strength, as evidenced by a significant decline in net sales and a high operating profit margin.

In the broader market context, TCI Finance's recent performance contrasts with the benchmark Sensex, which has gained 2.09% over the past week while TCI Finance has declined by 3.40%. Despite this, the stock has performed well over the past month, with a return of 27.96% compared to the Sensex's 2.65%. The stock's liquidity is deemed sufficient for trading, which may contribute to its recent price rise. However, the overall negative long-term growth outlook and the company's risky valuation compared to historical averages could pose challenges moving forward.
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