9 stocks that made Rakesh Jhunjhunwala poorer by a hefty sum; Did you suffer some pain too?
During Diwali festival, the Dalal Street king Rakesh Jhunjhunwala made a shocking statement where he said that he wished God not to give him power for making money in 2019, and that he just wanted to use the gains he made for his family and health.
During Diwali festival, the Dalal Street king Rakesh Jhunjhunwala made a shocking statement where he said that he wished God not to give him power for making money in 2019, and that he just wanted to use the gains he made for his family and health. Looks like, that wish has come true even as there is still one month left till the end of 2018.
Why, because the ace investor has lost a hefty sum during this year, so much that its breathtaking. Jhunjhunwala is a man everyone watches when it comes to investment in equities, but this time, his own stocks, which made him rich from scratch, have actually hurt him. Markets have been seeing price corrections since September 2018, although the benchmark indices have managed to recover losses to some extent, yet far away from their all-time highs. But for Jhunjhunwala this year can be a nightmare, as majority of his stocks have given him negative returns. In fact some stocks have also become penny stocks.
There are 32 stocks that have found love of Jhunjhunwala, with two new companies added quite recently. Among the total, only six stocks have given Jhunjhunwala positive returns, while remaining 26 stocks have slumped ranging from 3% to as massive as 76%, shrinking his wealth at certain level.
Interestingly, there were 9 stocks including a few of Jhunjhunwala’s favorites that plunged by more than 50%. If you have invested in any of these 9 stocks, then you lost massive money as well. Let’s see which stocks these are:
The worst performer on list of Jhunjhunwala’s stock, was Being Human operator The Mandhana Retail Ventures, which has dropped by a whopping 76% in less than a year. The share price of Mandhana was trading near Rs 188 in the beginning of this year, however, has now touched an all-time low of Rs 33.5 on Sensex. The ace investor holds about 12.74% stake in the company with 2,813,274 equity shares which are worth Rs 9.6 crore.
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Second disappointing stock in Jhunjhunwala’s portfolio was Dewan Housing Finance Corp (DHFL), which has been among the least favorite of investors since September 2018. DHFL shares had just touched an all-time high of Rs 690 on September 03, 2018, however, the glory days were short lived.
The fury of investors was such in DHFL that it even clocked an all-time low of Rs 176.05 on BSE in less than two months time. This means, the shares have more than halved on the index. DHFL has plunged by 67.55% in less than a year. Jhunjhunwala holds about 3.19% stake in the company with 10,000,000 shares valuing now Rs 200 crore.
Two more companies slipped over 60% in a year under Jhunjhunwala’s portfolio. Geojit Financial Services and Jaiprakash Associate have given negative performance of 63.29% each. The investor has about 7.57% stake in Geojit with shares aggregating up to Rs 77.4 crore, whereas in Jaiprakash the big bull has 1.13% with shares valuing Rs 18.3 crore.
In fact, Geojit and Jaiprakash have now become penny stocks. Geojit was at an all-time high of Rs 127.50 on December 21, 2017, has now come to a new low of Rs 37.90. Meanwhile, already a penny stock, Jaiprakash’s stock performance is scary, as it was at an all high of Rs 27.25 on December 29, 2017, and has now neared at Rs 5.75 on October 29, 2018.
Going ahead, there was also Prozone Intu Properties, Bilcare, Aptech, Autoline Industries and Orient Cement who have dropped by 56.39%, 56.38%, 52.2%, 51.94% and 50.49% respectively in less than a year.
Jhunjhunwala, in Prozone, has 2.06% stake whose shares are now valued at Rs 9.7 crore. His stake in Aptech is highest in percentage terms, as Jhunjhunwala holds about 24.05% with shares worth Rs 167.2 crore.
In Autoline and Orient, Jhunjhunwala holds 8.34% and 1.22% with shares valuing at Rs 10 crore and Rs 20.2 crore respectively. These were just nine stocks where Jhunjhunwala has seen the biggest decline in his holdings.
Jhunjhunwala is a patient investor, and he has boasted about not going into a panic mode over market whims. He believes, that some stocks will outperform and some will underperform, but the Indian markets will head only up going forward.
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