Karnavati Finance Faces Intense Selling Pressure Amid Significant Price Declines

Karnavati Finance Ltd is currently facing significant selling pressure, with the stock showing only sellers today. The company, classified as a microcap in the Non-Banking Financial Company (NBFC) sector, has experienced a sharp decline of 20.00% in just one day, significantly underperforming the Sensex, which has gained 0.26% during the same period.
This marks the continuation of a troubling trend, as Karnavati Finance has recorded consecutive losses over the past two days, totaling a decline of 22.22%. Over the past week, the stock has dropped 20.90%, and its performance over the last month shows a staggering decrease of 30.35%. Year-to-date, the stock is down 34.88%, contrasting sharply with the Sensex's positive performance of 2.75%.

Today, Karnavati Finance hit a new 52-week low of Rs. 1.4, indicating a significant downturn. The stock is trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, further highlighting its weak market position. The persistent selling pressure may be attributed to various factors, including broader market trends and company-specific challenges, but the exact causes remain to be fully understood.