Now, its been a week since Infibeam’s shares went live in Stock Market. And as a curious e-commerce enthusiast, I find it important to keep a close watch on this stock and determine what is the mood of the market w.r.t. e-commerce and consumer internet companies. Also, this analysis will focus on how the management of these companies keep the faith of their investors alive and kicking.
And with all this in my mind, I will attempt to take a weekly shot on this company’s performance.
Week 7: 15th – 20th May 2016
It looks like, for the first time the stock went below the 500 level (however for a short period), and then someone magically pushed the prices back to the 500 levels.
Overall journey looks like the one below.
I am still hesitant to forecast anything about this company, but what surprises me the fact that even now I have not seen or heard company’s any initiatives after it went live which could reinforce the belief of the investors. Worst of all, the company has decided to totally stay away from media and has chosen not to update even once so far.
Week 6: 9th – 13th May 2016
For the first time since the listing, the signs of systematic ruining of prices are appearing now. And if you look closely, there is a pattern which illustrates the investor sentiments.
And the overall picture, so far appears as below:
Probably it would be a bit early to say that the season for bullishness on this stock are over, however the early trends hint at the same.
Week 5: 2nd – 6th May 2016
This week the stock was pushed to a new 52 week high of 537, almost 24.3% higher from the listing price, which couldn’t sustain and saw a downwards free fall.
This is the overall journey, and only visible trend so far is that the stock is maintaining the pushed-up price until now.
Week 4: 25th April – 29th April 2016
This week Infibeam achieved its by the biggest jump ever since it got listed to touch 527.30 (almost 22% higher than the listing price). The journey so far is as presented in the chart below:
Some of the Analysts have proposed that the target of 784.38 in the moths to come. So let continue and watch the developments closely.
Week 2 & 3: 11th – 13th April, 18th – 22nd April 2016
These two combined weeks had a total of 7 trading sessions, instead of regular 10 sessions, and hence it made sense to report these two weeks developments together. In these 10 trading sessions, there is some surge which has happened and which needs some analysis.
On 12th April someone started inflating the prices in a schematic manner. These definitely can are not the regular individual investors who suddenly started to develop so much trust in the company’s fundamentals that they started playing in huge volumes. Definitely these volumes (as marked in the chart above) are majorly contributed by some of the institutional investors who have started putting-in the volumes in a planned and staged manner, as indicated in the volumes chart and its impact can be seen as spikes in the price chart. And hence what we see here is a manufactured price jump of almost 10% with high volatility in between the trading hours.
Week 1: 4th – 8th April 2016
The below info graphics presents the daily price movement on NSE, starting from 4th April 2016.
A few points worth a note are:
- Infibeam made a debut on the stock exchanges at a price of Rs 453/- , and by the 5th trading session it was trading at Rs 448/-. I don’t want to make any inference based on the price movements of just one week. And it will be unfair for this company to get any comments based on this small data set.
- In this one week, there is something worth taking a note happened – Nomura Singapore reduced its stakes in Infibeam from 5.67% to 4% (by offloading its shares and making a quick buck riding on the bullish sentiments of those investors who joined the bandwagon after they had missed the IPO bus.
- Google Finance’s Page on Infibeam
- Capital Mind’s article: Nomura Singapore reduces stakes in Infibeam