10 High Quality Stocks That Dropped More Than 40% From Highs

Markets have been extremely volatile, with the Nifty hitting a new 52-week low in trade. Here are 10 high quality stocks that have plunged more than 40% from 52-week highs.

Stocks that dropped 40% from highs

	52-week highs	Current market price
Lux Industries	4641	1777
Mindtree	5057	2797
HDFC AMC	3300	1742
NMDC	169	109
Gujarat Gas	782	405
ICICI Securities	895	424
Gulf Oil	714	390
TV Today Network	464	252
Jindal Steel	577	334
Tata Metaliks	1364	659

Markets to stay under pressure

According to Siddhartha Khemka, Head - Retail Research, Motilal Oswal Financial Services, going ahead, markets are likely to stay under pressure amidst worry over significant economic slowdown.

"Further delay in monsoon is also denting sentiments as it might further push the rural demand recovery. In the absence of any positive trigger and continuous selling by FIIs, we would suggest caution to traders and advise not carrying any positions overnight given the uncertain market conditions. On the other hand, investors can slowly start accumulating quality stocks on a very selective basis without getting into aggression," he says.

PFI selling causes pain

As Foreign Portfolio Investors (FPIs) are selling, we are likely to see more pain, unless the selling ends. FPIs continued their selling spree in May, pulling out nearly Rs 44,000 crore ($5.7 billion) from domestic markets. This is the worst sell-off the markets have seen since March 2020 when foreign investors dumped shares worth Rs 58,632 crore ($7.9 billion) due to the scare triggered by Covid-19 The sell-off in May is also the second-highest monthly outflows recorded in the domestic market since 1993.

In June the trend has not changed and so far until June 16, the net sale has been close to Rs 34,crores and if the trend continues, this could be the worst month in a long time. A further downside in the markets is possible and investors should be careful.

 

Disclaimer

Investors are advised caution as the markets have become exceedingly volatile. Neither Greynium Information Technologies, nor the author, would be responsible for any losses based on a decision reading the above article. Every effort has been made to provide accurate information and readers should understand the inherent risks before investing in the markets.