Wild swings in Vashu Bhagnani stock raise eyebrows

The stock closed at ₹298.85 on Monday, 5% lower - the lowest tradable limit in the trading session. The recent losing spree in the shares has continued even after the company, in a , denied news reports that said the entity sold off its office building, laid off staff and is seeing delay in salary payments.

Before the news surfaced on June 24, shares of Vashu Bhagnani Industries had almost doubled in just one month, from ₹209 on May 24 to ₹410.

"Pooja Entertainment is a classic example of a share doing better than the market but without any ," said Arun Kejriwal, founder, KRIS, a Mumbai-based investment consultancy firm. "Such price movements make one believe that it is not natural but artificial."

The company's consolidated for FY24 stood at ₹8 crore as against ₹2.86 crore the previous year. Consolidated were at ₹58.07 crore during the year as against ₹46.6 crore in the previous year.

Film trade analysts claim the company's recent movies have not been profitable. "We have not seen Pooja Entertainment's movies do well in the last 23 years. The production house's last hit movie was in 2001 named 'Mujhe Kuchh Kehna Hai'; and ever since then, all their movies have tanked," said Komal Nahata, a trade analyst. "Recent releases like Bade Miyan Chotte Miyan, Mission Raniganj, and Bell Bottom have also failed to break this streak and were box office flops."