TruCap Finance Limited’s (NSE:TRU) Share Price Boosted 27% But Its Business Prospects Need A Lift Too
TruCap Finance Limited (NSE:TRU) shareholders are no doubt pleased to see that the share price has bounced 27% in the last month, although it is still struggling to make up recently lost ground. Still, the 30-day jump doesn’t change the fact that longer term shareholders have seen their stock decimated by the 86% share price drop in the last twelve months.
Although its price has surged higher, TruCap Finance may still be sending very bullish signals at the moment with its price-to-earnings (or “P/E”) ratio of 12x, since almost half of all companies in India have P/E ratios greater than 28x and even P/E’s higher than 53x are not unusual. Nonetheless, we’d need to dig a little deeper to determine if there is a rational basis for…
