Zenith is working for Chennai based Opeartor Gunavanth
It had got preferential in many SME pump and dump Guna operated stocks like Gensol, Nibe,veranda
M.Ravi & Dr also with them #SEBI
Aditya Joshi of Sovernn is also mentioned by this person.
Be careful with SME stocks.
In a latest interview in media promoter himself said he will be off loading some equity, but not less than 50%, presently he holds around 63%, In maximum cases of barring some nano caps whose market cap is less than 200 cr, pump and dump can be done by small operators, but a company like Gensol also …
ED operates on exact information, we all should be very careful while investing in company like this in future.
Promoter going out of way to clarify on items on X/twitter provides enough indication that how involved are they into day to day price movement of stocks and want to do anything to ensure that damage control is done. For me personally, its not great if promoter focus on stock price and news around it more than business.
When a company’s promoter takes the effort to address concerns, it’s not just about the stock price. Instead, it’s about the promoter fulfilling their duty to maintain investors’ trust in the business.
So, it’s neither good nor bad if a promoter defends their business to maintain investor trust. It’s just part of their responsibility to ensure investors confidence in the company.
I agree with you on this @embtux . Its a double edged sword for them.
Dont come out with a clarification: Corporate governance is weak, no response from promoters on allegations, must be involved in the pump and dump scheme, don’t care for the retail investors etc.
Come out with the clarification: Something is fishy, promoter is too focused on the stock price, something must be wrong.
Personally feel the clarification provided was okay. Did not go into a defensive mode about the entire ordeal and clearly stated that the have no decision-making influence on the actual business, which is a very important thing. Small/Micro caps will always come with risks and chances of being manipulated due to lower liquidity and market cap, but it’s the promoters guiding the company that wins out in the long run.
People who invested in the BUISNESS remain convinced about the buisness…
It is only the people who enter a buisness due to rising stock price that get panicked due to such news.
All stocks come with a risk and this is one of them !
Zenith holds 1.6% of company and no decision making power. Thats just about 30-40cr worth of stocks as per current mcap
On high multiples -
Is gensol the only one to have a high p/e in this sector and in this bullish market ?
The entire market is on a high-tide
Sure, thats the reason markets exists since people will have different views.
Many will buy / hold even after seeing operators interests in these stock manipulation [ Check SEBI recent order or Stocks linked to Dubai-based hawala operator Tibrewala take a beating ]
Others risk averse will sell or skip these stocks. Its own risk profile.
