NITCO Ltd - Financially Broke - Share UC

Nitco Ltd posted exceptionally bad consolidated numbers for Q4 and FY21, with net loss of Rs. 48 cr for Q4 and Rs. 134 cr for FY21. There is nothing surprise of such losses, as company has been posting losses for last maybe over 24 quarters and last 6 years (except for exceptional gain of write off in one quarter or year), with Net Worth in negative at Rs. 90 cr. on equity of Rs. 72 cr.

Nitco Ltd was pioneer in Ceramic Tiles and import of Italian Marble, way back 30 years ago. Probably, every Indian Billionaire has bought Tiles and Marble from this company, while its Promoter is staying at Malabar Hill, where late AV Birla, late Vinod Khanna had stayed and now many prominent people are presently living there, including Big Bull.   

Strangely, post these howler numbers, share closed at 52 week high, with UC of 10% on last Friday. JM Fin ARC had lent about Rs. 600 cr, while company is in default of 200 cr. to them. If promoter can make an Old Investment Banker to run for his money, can a small investor make money by buying stock of Nitco Ltd.?

Retail investors love to buy such junkies, maybe on the calls given by Media and Street experts, ultimately to loose, thus abusing stock market thereafter. If one is willingly puts his or her leg in fire, can they blame fire?

This is not a sell recommendation, while stock recommendations are provided exclusively to our paid members in the Member Zone.