This Specialty Chemical Stock Hits 52-Week Low; Settles Lower With A Loss Of Over 7%

While the headline indices zoomed substantially, this stock-Rossari Biotech from the specialty chemicals pack fell by a sharp 20% intra-day to day's low as well as 52-week's low price of Rs. 905.20 per share on the NSE. The plunge in the stock price of the counter has come despite robust earnings.

This Specialty Chemical Stock Hits 52-Week Low; Settles Lower With A Loss Of Over 7%

The company in December posted a 4% increase in consolidated net profit at Rs. 22.5 crore in the December period as against Rs. 21.6 crore in the same period of the last year. The revenue also doubled to Rs. 428.4 crore in comparison to Rs. 210 crore in the same quarter last year. The stock has been trading lower than 5-day, 20-day, 50-day, 100-day, and 200-day moving averages.

The company said its third quarter earnings got impacted on the back of raw material volatility. Further to overcome such continuing raw material related pressures, the company has been carrying out price hikes wherever possible.

"With a strong balance sheet, adequate manufacturing capacities, and a solid product portfolio, we are well-poised to capitalise on the upcoming opportunities in this space. Furthermore, stabilization of the macro-economic environment will enable us to deliver strong performance, going forward," added the company.

Also, the company during the period under review acquired 51% holding in Romakk Chemicals from December 1, 2021. The company has been delivering strong performance due to increasing demand as well as volume off take in the markets.

GoodReturns.in