This stock drops 40% in one week; should you buy?
In a separate development, exchange data showed that foreign portfolio investors (REITs) sold shares of the company through the open market. On February 22, 2022, Baillie Gifford Pacific Fund, a sub-fund of Baillie Gifford Overseas Growth Funds ICVC, sold 9.43 million shares or 1.55% stake in Dhani Services, at a price of ₹85.07 on the NSE, according to wholesale transaction data. .
According to the shareholding scheme available on BSE, promoter groups held 30.05% equity in Dhani Services, Foreign Portfolio Investors (REITs) held 27.16% equity and retail investors stood at 28.1% at the end of the December 2021 quarter.
The stock has fallen nearly 80% in the past year and 60% in the past six months. It has fallen 54% since the start of the year and 43% in one month. On Monday, the stock rose more than 2% in opening trades after hitting the 10% upper circuit on BSE in the previous session. The stock traded below the 5-day, 20-day, 50-day, 100-day and 200-day moving averages. The market capitalization of the stock stood at ₹4,453 crore.
The small cap stock was placed under the first stage of the short-term BSE Supplemental Monitoring Measure (ASM) due to high volatility in the stock price. The preventive surveillance measure was imposed to protect the interests of investors.