Why is Vibhor Steel falling/rising?
As of 09-Sep, Vibhor Steel Tubes Ltd's stock price is declining at 159.70, down 1.36%, and has underperformed its sector. Despite recent positive trends over the week and month, the stock has dropped 35.32% over the year, reflecting weak fundamentals and high debt concerns.
As of 09-Sep, Vibhor Steel Tubes Ltd is experiencing a decline in its stock price, currently at 159.70, which reflects a decrease of 2.2 or 1.36%. The stock has underperformed its sector by 1.66% today and has shown a trend reversal after two consecutive days of gains. While the stock has performed positively over the past week and month with returns of 0.95% and 1.91% respectively, it has significantly underperformed over the year with a decline of 35.32%. The company has a Return on Capital Employed (ROCE) of 7.7, indicating weak long-term fundamental strength, and its profits have fallen by 34% over the past year. Additionally, the stock has a high Debt to EBITDA ratio of 4.15 times, which raises concerns about its ability to service debt.In the broader market context, the stock's recent performance contrasts with the benchmark, as the Sensex has gained 1.18% over the past week and 1.56% over the past month, while Vibhor Steel's year-to-date performance shows a stark decline of 25.63% compared to the Sensex's increase of 3.79%. This underperformance highlights the challenges the company faces, particularly in light of its negative results reported in June, where net sales fell by 7.3%. The liquidity of the stock appears adequate, with a delivery volume increase of 37.99% against the 5-day average, but the overall sentiment remains negative due to the company's financial struggles and the significant drop in its stock price over the past year.
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