Stock Manipulation: PMC Fincorp
Moneylife Digital Team 07 August 2014

Over the past year, the stock price of PMC Fincorp shot up by a whopping 1122% or  12 times

 

Earlier known as Priti Mercantile Company, the company changed its name to PMC Fincorp on 8 May 2014 and has its corporate office in Kanpur (Uttar Pradesh). PMC Fincorp’s annual report for FY12-13 states that the company is engaged in trading in shares, provides financial services and undertakes investment activities. PMC claims to offer loans against property, personal loans, inter-corporate deposit, etc. Over the past four quarters (September 2013 to June 2014), PMC has reported total revenue of just Rs15.45 crore and net profit of Rs3.72 core. Its market-cap? An astounding Rs3,500 crore! Over the past year, the stock price of this company shot up by a whopping 1122%, or 12 times, to Rs700.55 as on 28 July 2014 from Rs57.31 as on 19 March 2013. The stock price is over 900 times the earnings (past four quarters) per share. The high valuation does not seem to deter ‘investors’—whoever they are. Over the past year, the trading turnover of the stock has averaged Rs1.31 crore per day with an average of around 350 trades a day. As expected, this rampant case of trading manipulation remains unnoticed by the regulators.

Comments
Madhur Aggarwal
1 decade ago
Plz follow this story
- How such kind of malpractises
are allowed to breed and thrive in
an economic system.
There must be some lacuna in Indias capital market
which has been used to full effect by such promoters.

Apathy of India Regulators
Suiketu Shah
1 decade ago
Great ml covers such stocks to stay away from.One such stock which fooled public was fake herbal cosmetics maker Amar remedies
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