Jhaveri Credits & Capital Hits 52-Week Low Amid Broader Market Decline
Jhaveri Credits & Capital, a microcap finance/NBFC firm, reached a new 52-week low amid a slightly negative broader market. The company has faced a significant decline over the past year, despite reporting positive quarterly results, including substantial growth in net sales and profit after tax.
Jhaveri Credits & Capital, a microcap player in the finance/NBFC sector, has seen significant activity today as its stock price reached a new 52-week low of Rs. 156.5. This decline comes amid a broader market context where the Sensex is trading slightly negative at 77,942.22, despite a three-week consecutive rise of 6.48%. Jhaveri Credits & Capital's performance over the past year has been notably poor, with a staggering decline of 62.86%, contrasting sharply with the Sensex's gain of 7.56%. The company's return on equity (ROE) stands at a modest 4.2%, indicating weak long-term fundamental strength. Additionally, the stock is trading at a premium compared to its peers, with a price-to-book value of 1.6.
Despite the challenges, Jhaveri Credits & Capital has reported positive results for the last three consecutive quarters, with net sales growing by 267.07% to Rs. 6.02 crore and a profit after tax increase of 75.71% to Rs. 2.46 crore. However, the stock's technical indicators suggest a bearish trend, with it trading below all major moving averages.
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