Moneycontrol
Get App
Last Updated : Mar 19, 2020 01:29 PM IST | Source: Moneycontrol.com

Around 250 stocks hit record low, over Rs 8 lakh cr investors wealth eroded as virus grips Dalal Street

Among stocks which listed in last one year, CSB Bank, IIFL Wealth Management, SBI Cards & Payment Services, Suven Pharmaceuticals, Ujjivan Small Finance Bank etc also hit all-time lows today.

Image: Reuters
Image: Reuters

Given the weak global environment due to fast-spreading COVID-19, the equity market is not showing any sign of major recovery yet. The Nifty50 broke 7,900 levels intraday and the BSE Sensex has fallen below 27,000 mark on March 19, losing more than 36 percent from their record high levels seen in January this year.

Several stocks are trading at multi-year lows now including some darling largecap stocks. The BSE data showed that today more than 1,000 stocks hit fresh 52-week low, of which, 250 stocks hit record lows today.

Stocks which touched a record low included Wipro, Bandhan Bank, ICICI Prudential Life Insurance, Bharti Infratel, GIC Re, Aditya Birla Capital, IDFC First Bank, Indiabulls Housing Finance, RBL Bank, Dalmia Bharat, Tata Power Company, Godrej Agrovet, Spandana Sphoorty Financial, IDFC, Karur Vysya Bank, Equitas Holdings, Sadbhav Infrastructure Projects, KPIT Technologies, among others.

Close

Among stocks which listed in last one year, CSB Bank, IIFL Wealth Management, SBI Cards & Payment Services, Suven Pharmaceuticals, Ujjivan Small Finance Bank etc also hit all-time lows today.

In the intraday trade, the Sensex lost 7.5 percent and as a result investors lost more than Rs 8 lakh crore of their wealth in a single day, though the market recovered a bit later.

In total, now more than Rs 50 lakh crore of BSE market capitalisation has been wiped out by the bear phase.

So far, more than 2.18 lakh people have been infected by the COVID-19 with around 9,000 deaths worldwide. In India, infected cases increased to 166 with 3 deaths.

Globally investors worried about economic growth as brokerages already cut down their global growth forecast as well as earnings growth estimates.

"This is more of a full-fledged bear market and a full-fledged recession. I think globally we are going to have one of the worst recessions, probably worse than 2008-09 and for a couple of quarters, you could see a negative 3-4 percent growth on a global basis," Arvind Sanger, managing partner at Geosphere Capital Management told CNBC-TV18.

But as the market has consistently been falling, most stocks are available at attractive valuations. Hence, experts advised buying only quality stocks in a staggered manner or wait to get the market settled down.

"When I look at markets, we are buying slowly because when we look through the next year, that is calendar 2021. We think we could have a pretty nice rebound from current levels," Sanger said.

"My thinking is that the bottom is very close in time but not in levels, in the sense that it is falling so fast. Either we will find positive news about a (coronavirus) cure or some graph not increasing or exponential increase (in number of cases) not happening, then we will be okay. Or it will fall down a notch, without total clarity on that day but then I would feel like buying but today I am not buying," Samir Arora is the Founder and Fund Manager of Helios said in an interview to CNBC-TV18.

Moneycontrol Ready Reckoner
Now that payment deadlines have been relaxed due to COVID-19, the Moneycontrol Ready Reckoner will help keep your date with insurance premiums, tax-saving investments and EMIs, among others.


Facebook-BCG report suggests these measures for businesses to unlock the changing consumer behaviour in the current pandemic. Read More!

First Published on Mar 19, 2020 01:29 pm
Sections
Follow us on