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BS READS: Why is illiquid Elcid Investments stock so valuable off-market?

Elcid's stock has changed hands only 31 times on the bourses in 9 years and trades at Rs 11.03, but few want to sell, as they assume its intrinsic value in lakhs. Jyotindra Dubey explains why

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Adding the other stocks and mutual fund assets owned by Elcid, the total net asset value of the company comes out to around Rs 8,000 crore

Jyotindra Dubey New Delhi

11 min read Last Updated : Aug 26 2020 | 12:27 PM IST

Elcid Investments is a highly illiquid stock with hardly any trades -- the share has changed hands only 31 times since July 2011--on the exchange. The Mumbai-based company is currently trading at Rs 11.03 a share on the BSE, with a market capitalisation of merely Rs 20 lakh. Prima facie, it looks like a dud penny stock, with no investor willing to take a punt on.

Are there no buyers for the stock? There are, but the sellers as unwilling to give it up as the intrinsic value of the stock is estimated to be a staggering Rs 4,00,000 a

Topics : BS Reads Elcid Investments Stock Markets BSE Securities and Exchange Board of India

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