Why is Valson Industrie falling/rising?

Sep 12 2025 09:36 PM IST
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As of 12-Sep, Valson Industries Ltd's stock price is 27.37, down 0.47%. Despite short-term gains, the stock has underperformed long-term with a year-to-date return of -11.08% and weak fundamentals contributing to its negative outlook.
As of 12-Sep, Valson Industries Ltd's stock price is currently at 27.37, reflecting a decrease of 0.13 or 0.47%. The stock's performance today is in line with the sector, although it is trading higher than its 5-day and 20-day moving averages but lower than its 50-day, 100-day, and 200-day moving averages. Over the past week, the stock has gained 1.00%, and over the past month, it has increased by 2.89%. However, the stock has significantly underperformed over the longer term, with a year-to-date return of -11.08% and a one-year return of -34.82%. The company's return on capital employed (ROCE) is low at 3.5, and it is trading at a discount compared to its peers. Despite this attractive valuation, the stock's profits have declined by 33% over the past year, contributing to its negative performance.

In the broader market context, the Sensex has outperformed Valson Industries, with a 1-week return of 1.48% and a year-to-date return of 4.82%. The stock's recent decline can be attributed to falling investor participation, as evidenced by a 29.41% drop in delivery volume compared to the 5-day average. Additionally, the company's weak long-term fundamentals, including a high debt-to-EBITDA ratio of 4.73 times and poor net sales growth, further exacerbate its underperformance. Overall, while the stock shows some short-term gains, its long-term outlook remains weak, leading to a downward price movement.
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