Why Did Advik Capital Shares Plummet Over 52% from Their 52-Week High?
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Synopsis
Advik Capital Limited's shares have plunged by over 52% from their 52-week high, raising concerns among investors. The company faced significant challenges, including rejection of key proposals at its AGM and a steep decline in net profit. Discover the reasons behind this alarming trend in our detailed analysis.
Key Takeaways
- Advik Capital's shares have fallen over 52% from their peak.
- The company's AGM saw crucial proposals denied by shareholders.
- Net profit in Q1 FY26 dropped significantly by nearly 80%.
- Short-term recovery has not compensated for long-term investor losses.
- The company's future fundraising plans are currently stalled.
Mumbai, Oct 3 (NationPress) The shares of Advik Capital Limited, a non-banking financial company (NBFC), have experienced a significant decline of over 52 percent from their 52-week peak of Rs 3.29.
Shareholders of Advik Capital have continually faced value erosion.
Data from BSE Analytics indicates that the company's stock has fallen by 45.61 percent over the past year.
On a year-to-date (YTD) basis, the stock is down 30.18 percent, while it has decreased by 11.43 percent in the last six months.
Over a three-year span, the losses have intensified, with the stock plummeting more than 44 percent.
The shares are currently trading at Rs 1.56, showing some short-term momentum with a gain of 10.71 percent in the past month and 6.16 percent over the past week.
Despite this minor recovery, it has not compensated for the substantial long-term losses faced by investors.
Compounding the situation, the company’s 40th Annual General Meeting (AGM) saw several significant proposals rejected by shareholders.
These proposals included increasing the authorized share capital, raising funds through securities issuance, enhancing borrowing limits under Section 180(1)(c) of the Companies Act, creating charges on assets, approving loans and investments beyond prescribed limits under Section 186, and sanctioning related-party transactions under Section 188.
The rejection of these proposals means that the company cannot proceed with its fundraising or borrowing plans until it obtains new shareholder approval.
This impasse has further disheartened investors regarding the stock.
In the first quarter of the current financial year (Q1 FY26), the company's net profit fell by nearly 80 percent to Rs 0.48 crore, down from Rs 2.34 crore in the same quarter of the previous financial year (Q1 FY25).
Advik Capital Limited is an NBFC based in New Delhi that provides loans, invests in securities, and engages in various financial activities, including leasing.
Point of View
I believe that the steep decline in Advik Capital's shares signals a troubling trend for investors. The company's inability to secure approval for crucial proposals at the AGM exacerbates the situation. It is essential for stakeholders to remain informed and vigilant as we watch how this situation unfolds in the coming months.
NationPress
17/11/2025
Frequently Asked Questions
What caused the decline in Advik Capital shares?
The decline is attributed to a combination of value erosion, rejected proposals at the AGM, and a significant drop in net profit.
How much has Advik Capital's stock dropped in the last year?
The stock has dropped by 45.61% over the past year.
What proposals were rejected at the AGM?
Key proposals included increasing authorized share capital and raising funds through securities.
What is the current trading price of Advik Capital shares?
The shares are currently trading at Rs 1.56.
What financial activities does Advik Capital engage in?
Advik Capital provides loans, invests in securities, and participates in leasing and other financial activities.
