Navin Fluorine shares hit the lower circuit on Friday, here is why!
The stock has delivered an impressive multibagger return of 446 per cent to its investors over the past five years.
Navin Fluorine International Limited, a prominent player in the Indian chemical space, is engaged in the production of refrigeration gases, inorganic fluorides, and specialty organofluorines, and offers contract research and manufacturing services. Shares of the company fell by over 14 per cent on Friday.
The stock opened Friday’s trading session at Rs 4,030 per share, representing a 7.6 per cent decrease from the previous day’s closing price of Rs 4,361.75 per share on the BSE.
Furthermore, it reached a lower circuit limit of 10 per cent early in the morning trading session on Friday. After hitting the lower circuit, the stock experienced a decline of over 14 per cent, and finally, it closed the day at Rs 3766 per share, marking a 13.66 per cent decrease from its previous day’s closing price.
What caused the stock to drop significantly during the Friday’s trading session? Well, according to the latest update, the Managing Director of the company has resigned.
As per the details, Radhesh R. Welling has decided to step down from his role as the Managing Director and Director on the Company’s Board due to personal reasons. Moreover, the Board of Directors has accepted his resignation at the company’s meeting.
Welling will be stepping down from his role at the Company effective at the close of business hours on December 15, 2023. He will continue to serve the Company to facilitate a smooth transition. The Company will appoint a senior professional to lead the organization as Managing Director in due course. Vishad P. Mafatlal, Executive Chairman, will oversee the operations of the Company and will be supported by the leadership team, as per the press release.
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Technically, the stock had been trading within an upward channel for quite some time, dating back to May 2021. It consistently found support at the lower boundary of this channel pattern and encountered resistance at the upper boundary. Unfortunately, it broke out of the channel, but in a downward direction, marking a significant gap down.
Turning your attention to the stock’s performance, it has yielded a negative return of 16 per cent over the past year. However, when evaluating its long-term performance, the stock has delivered an impressive return of 446 per cent to its investors over the past five years.
Disclaimer: This article is for informational purposes only and not investment advice.