Kridhan Infra Hits New Low Amid Broader Market Decline and Sector Weakness

Kridhan Infra, a microcap player in the construction and real estate sector, has experienced significant activity today, hitting a new 52-week low of Rs. 3.15. This decline comes amid a broader market downturn, with the Sensex falling sharply by 731.92 points, or 1.63%. Despite the challenging market conditions, Kridhan Infra managed to outperform its sector by 4.74%, marking a potential trend reversal after three consecutive days of decline.
However, the stock continues to trade below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish technical outlook. Over the past year, Kridhan Infra has seen a substantial decline of 30.94%, contrasting sharply with the Sensex's positive performance of 2.93%. The company's financial health is concerning, with a negative book value and a low return on equity of 8.20%, reflecting weak profitability.

Additionally, the stock's performance has been hindered by negative operating profits and a significant drop in profits over the past year. As the construction and real estate sector faces a decline of 2.25%, Kridhan Infra's long-term and near-term performance remains below par, raising concerns about its future viability.