Jm fin has been in a correction mode from its high of around 190 to current levels of 110-120. Fundamentally the margins for the company have been declining gradually and that is probably responsible for the slide in price.
While it may look very attractive on valuation basis, I think one needs to do a bit of homework by listening to concall and going through the annual report and try to figure out how the company plans to grow its business going forward. I had exited jm some time back post q3 fy 18 results.
All companies in the sector namely jm, motilal, iifl have been correcting. Edelweiss seems to be showing some relative strength by correcting less as compared to others.i think the stocks in the sector may remain sideways/down for some more time.
The way these stocks have corrected has come as a bit of surprise to me too but a lot of other small/midcaps also have been hit hard despite good results and optimistic outlook. I guess the market preference has shifted to large cap and there is no strength in small/midcap space.
Stocks considered to be high quality like page inds, fmcg cos, bajaj fin etc are fancied and are quoting at rich valuations.
These kind of market moods and preferences keep changing every few months as can be seen from the market fancy in january and now.