Why is Jio Finance Stock falling ! Stock Market News Today

Jio Financial Services – Listing on Lower Circuit?” What is this happening?

Why is Jio Finance’s share falling?
What was the issue price of Jio Financial Services?
Why is Jio’s finances falling?

 

Why is Jio Finance share falling


Jio Finance Services entered the market on August 21. After premium listing, BSE and NSE together saw some 78 million shares traded . But, on the very first day of listing it closed lower circuit May down 5% (Rs 248.9th). and Today Stock Price Was 213.45, stock was down almost 15% of high.

 

This Stock May Intra-Day Trading Was Not Allowed – Then What Is The Reason Why This Stock Touched Lower Circuit? well, 

JFSL shares are being sold by AMCs – Asset Management Companies that are running Passive Mutual Funds Schemes..Why?

Earlier Than JFSL Gets Excluded From Nifty50 And Sensex, He Is Better To Book Profit And Take Exit From This Stock These funds have 145 million shares, which they got after the demerger.  Now Day 1st was not able to survive completely so it was obvious to sell on Day 2 And Day 3 also..and that’s why it closed on a 5% lower circuit on Day 2 & 3 also – Rus. 213.45

According to analysts, the Nifty exit would trigger some $290 million outflow, and the Sensex exit, $175 million.

The promoters’ stake in JFSL Stock is 46%, LIC’s is 7%, public shareholders are 40% and SBI Mutual Fund, Europacific Growth, BNY Mellon, and the Government of Singapore are holding 2% each.

 

By the way, India May have more than 20 Asset Management Companies..and the top 10 are like this 

Sr. No

AMC

Assets Managed as on March 31st
2023

1

SBI Mutual Fund

₹ 700,990.72
crores

2

ICICI Pru MF

₹ 509,588.31 crores

3

HDFC MF

₹ 437,876.34
crores

4

NIPPON INDIA MF

₹ 287,827.85 crores

5

Kotak Mahindra

₹ 284,073.77
crores

6

Aditya BIrla Sun Life MF

₹ 261,232.11 crores

7

Axis MF

₹ 226,881.21
crores

8

UTI MF

₹ 223,698.69 crores

9

Bandhan MF

₹ 111,592.46
crores

10

DSP MF

₹ 107,067.08 crores

 

And here aks are extracting the crop from their schemes.. 

Why did JFSL give such a full show after the listing? 

RBI Monetary Policy – Interest rates are still high. High interest rates mean the cost of borrowing is also high..and the cost of borrowing is high means less capital gain, and low dividend distribution.RBI Monetary Policy – Interest rates are still high… High interest rates mean the cost of borrowing is also high..and the cost of borrowing is high means less capital gain and low dividend distribution.

 

Maybe JFSL will have to keep its listing date keeping in mind the inflationary pressure, and wait a little longer..as the short-term outlook of the company is uncertain… 

So when will the situation of Jio Finance change? What is Prediction? When will Jio Finance take a U-turn?

According to the stock market experts, the fair value of JFSL is around Rs 180, and the stock is still much above its fair value. So it seems that the condition of the crop will remain the same for some time. But even though short-term May investors are booking profits, Advisors have no interest in buying multiple buys, because the NBFC sector is looking bright for its future and long-term outlook.

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