This smallcap stock hit 5th straight lower circuit; down 53% in 1 week
Source: Business Standard
Shares of Kamdhenu Ventures were locked at the lower circuit for the fifth straight day, down 5 per cent at Rs 27.22 on the BSE in Friday’s intra-day trade with no buyers at the counter. In the past one week, the stock price of this smallcap company has tanked 53 per cent from a level of Rs 58.31. In comparison, the BSE Sensex was down 5 per cent.
The stock price of Kamdhenu Ventures was quoting close to its 52-week low of Rs 27.12 touched on October 30, 2023. It had hit a record high of Rs 58.57 on September 26, 2024. smal
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Till 02:46 pm; a combined 1.4 million equity shares changed hands and there were pending sell orders for a combined 7.56 million shares on the NSE and BSE, the exchange data shows.
Kamdhenu Ventures in an exchange filing today said the company has been receiving emails and calls w.r.t. sudden negative price movement since September 27, 2024 in the scrip of the company at the stock exchanges.
The company clarified that the Paint business operations and the plant are functioning normally & efficiently and there is no such news that affects the going concern status of the business. It may kindly be noted that neither the management nor the promoters of the company are connected or gained in any manner from such an increase or decrease in the share price of the company, it added.
Further, Kamdhenu Ventures reiterated that the company is not aware of the reason for such a sudden negative price movement in the scrip of the company. Whatever the increase/decrease in the price/volume of the company’s scrip is purely due to market conditions and absolutely market driven. The company said it has no control over these market conditions.
Kamdhenu Paints owned by Kamdhenu Colour and Coatings which is a wholly-owned subsidiary of Kamdhenu Ventures. Kamdhenu Paints is a leading brand in Indian decorative paints segment.
For June 2024 quarter (Q1FY25), the company had reported weak earnings with 12 per cent year-on-year (YoY) decline in revenue at Rs 55 crore and 26 per cent YoY drop in profit after tax at Rs 1.6 crore. The management had said this decrease was primarily due to reduced demand, influenced by the general elections and an extreme heatwave that curtailed construction and painting activities. They anticipate a strong recovery during the festive season, driven by an improvement in rural demand due to a well-distributed monsoon and our strong presence across regions.
On June 14, 2024, the stock turned ex-split in the ratio of 1:5 i.e. from face value of Rs 5 to face value of Re 1. In order to enhance liquidity of the company’s equity shares and to encourage participation of small investors by making equity shares of the company more affordable to invest the board has approved sub division of equity shares, the company had said.
First Published: Oct 04 2024 | 3:31 PM IST
