ADR Forum

amit2 · Joined: 21 Apr 2009 Posts: 1

Can anybody tell me wats going to happen next of Akruti share price...

From past 2 weeks its declining its share price by 5% everyday.

I bought 20 shares @ Rs 560/- each.

Now i cant sell the share what i'm holding, Can anybody tell what the future date for selling them in the market...

Thanx....

naha · Joined: 17 Nov 2007 Posts: 296

Akruti is a Bombay based realty company. Here are some facts about company. Company is well concentrated in building related projects and also western part of Maharastra (Around Bombay). These two facts make t a risky investment because of little diversification. This is well reflected in their financial numbers of last quarter, their revenue came down by 75%. Their revenue will not able to cover interest cost (revenue 48 Crore, interest 50 Crore). Now one can understand the severity of problem.

Second from the perspective market cap, which is very high, more then 6500 Crore. I am not sure why it is so high, i could not figure out why. Might be they own a land bank, but in todays market it is difficult to value those land bank. If you search for companies in Construction industries with Market Cap more then 1000 Crore, and after that compare DLF, Unitech, India Bulls and Akruti they are the costliest. Also i saw no big Mutual Fund or FII are entering the stock and most of the time trades ae buying and selling the stock such as OPG Securities, NIRLAM KOTECHA, MAHIPATRAY, etc.. These guys are buying and selling. Hence without big investor support stock is not going to go any where in long run. For retails and small investor i wil advice to stay away from it.