Mangalam Industrial Finance Penny Stock Surges: Caution Advised Amid Speculation

• Mangalam Industrial Finance, a sub-Re 1 penny stock, is experiencing a continuous price surge and high trading volumes, despite no corporate announcements, indicating speculative activity.
• The NBFC stock saw 420.78 lakh shares traded today, significantly above its 290.40 lakh average, marking its second consecutive day of gains.
• Investors are cautioned due to the high volatility and speculative nature of such penny stocks; the share has declined 30.22% in one month and 68% YTD.
• The Kolkata-based NBFC recently completed a rights issue, raising over Rs. 48.08 crore by issuing 48,08,21,750 equity shares at Re. 1 each.
• Despite being almost debt-free, the company has a high PE ratio of 108 and a low book value per share of Rs. 0.21, highlighting potential risks.

Why It Matters: Mangalam Industrial Finance penny stock surges on speculation; investors must exercise extreme caution due to high volatility.