Despite strong quarterly results, there is a rush to sell the shares of this company, the price fell by 10%

Despite strong quarterly results, shares of Indiamart Intermesh saw a huge fall today. The company’s shares have fallen by about 10 percent. The company’s net profit has increased by 10 percent on an annual basis, and the company’s net profit in the December quarter stood at Rs 121 crore.

On Wednesday, the company’s shares opened at Rs 2095 on BSE, but after some time these shares fell by 10 percent to reach Rs 2064.10.

Increase in revenue also

The company’s revenue increased by 16 percent year-on-year to Rs 354.30 crore, compared to Rs 305.30 crore in the December quarter of the last financial year. The company’s EBITDA also increased by 61.40 percent to Rs 138.30 crore, which was Rs 85.70 crore in the same quarter last year.

Experts’ concerns

According to a Money Control report, two major brokerage houses have expressed concern over the performance of Indiamart Intermesh. Nuvama brokerage house has given ‘Reduce’ rating and reduced its target price to Rs 1970 from Rs 2500. Nuwama said that for the first time after Covid, the number of subscribers of the company has decreased.

Apart from this, Nomura brokerage house has given ‘Neutral’ rating to the company and reduced its target price from Rs 3150 to Rs 1900. Nomura has expressed concern about the decline in subscriber numbers and weakness in customer engagement.