Delta Corp share price fell more than 4 per cent to Rs 308.55 apiece on BSE on Tuesday, a day after gaming company posted a fall of 16.7 per cent in consolidated net profit at Rs 48.11 crore. The income from the casino gaming division was down by 15.62 per cent to Rs 210.66 crore in the fourth quarter of FY22, as against Rs 249.65 crore in the previous quarter. This Jhunjhunwala stock has gained 10 per cent in one month, and 22 per cent in the year so far. Analysts suggest that investors must maintain a trailing stoploss of 300, meaning they can stay invested and see if the stock breaches the 300 levels.
“If that happens, they must exit. So far, as fresh entry is concerned, fresh purchases may be done only if the stock moves past 340 levels,” Milan Vaishnav, CMT, MSTA, Consulting Technical Analyst and founder, Gemstone Equity Research & Advisory Services, told FinancialExpress.com.
The stock price has more than doubled from its 52-week low of Rs 142, touched last year in April, rising a massive 117 per cent. The company’s board has also recommended a final dividend of Rs 1.25 per equity share, which will be paid within 30 days from the date of approval of the same by the shareholders. “As the past records have shown, we can expect the same numbers or little improvement in the next quarter as well and can see a stock ranging between 360-365,” Sakshi Jain, analyst, CapitalVia Global Research, told FinancialExpress.com. Ace investor Rakesh Jhunjhunwala holds 1.15 crore shares or a 4.31 per cent stake in the company, according to the shareholding pattern. His wife, Rekha Jhunjhunwala also holds a 3.18 per cent stake in the company.
In a BSE filing, Delta Corp said that the company posted robust numbers despite closure of operations for approximately 150 days during April-September 2021 on account of ongoing COVID pandemic crisis. “Further between January-February 2022, due to the Omicron wave there was a substantial decrease in visitations,” it said. In addition, Goa had the election code of conduct in place till 14th February 2022 which further restricted activity. Despite all the above challenges, the company said it has performed well.
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