Some promoters are very smart to make money not from the business of their company but by playing on their own scrips in stock market.If they want to rig the prices up they will show excellent results for few quarters , after selling the cornered shares through various entities at higher prices they will show pathetic result to bring back the share price to bottom level to collect the same again and the play will go on like this. One speciality of such companies are, they will not pay or pay very little dividend even if company’s reported profit is very high. In most of such cases company will declare very low dividend but it never send dividend warrants unless the share holders sending complaints to SEBI or so. Take utmost care before investing in such mid cap companies where profit is very high and promoter holding is very less and flooding the street with announcements on daily basis.Price rigging may happen periodically and share price may touch even higher level but retail investors will be the looser in these kind stocks.Current price is Rs.80
This is clear analysis sir, as i bought @ 25 and sold @ 61. But they are getting orders which are displayed on various websites but not on Bse. Something bad smelling :).
ReplyDeleteThanks for your post.