Produced by: Prashun Talukdar
Shares of Kalyan Jewellers India continued their losing run amid talks of IT raids and bribing a few fund managers. The fall came even as the management denied these 'absurd' issues in its recent earnings call. On Thursday, the stock dived 6.60 per cent to hit an intraday low of Rs 518.30. It eventually settled 2.87 per cent down at Rs 539. At this price, it has corrected 32.17 per cent from its record high of Rs 794.60.
Kalyan Jewellers started calendar year 2025 on a strong note as the stock scaled its all-time high value on January 2. But the counter has been mostly declining since then. It has traded lower in nine out of 12 sessions this year so far.
"Very absurd allegation. We have always conducted our businesses and interactions with all stakeholders with a very high level of integrity and transparency," Ramesh Kalyanaraman, executive director at Kalyan Jewellers, stated in earnings call.
"There have been no raids at any of our premises. It was just a rumour. Inventory level, as mentioned in our financial statement, goes through multiple levels of audit. We've repaid around Rs 450 crore debt over the last 18 months. This is in addition to around Rs 170 crore dividend payout," Kalyanaraman underscored.
"At Kalyan, we do not have any plans to buy any aircraft. There are no aircraft in the company's books except for a helicopter and there are no plans to sell it," said Kalyanaraman.
Representative pic
At least three analysts largely suggested avoiding the stock. "Investors can avoid Kalyan Jewellers at current levels," market expert Raghvendra Singh told Business Today. Investors should exit the counter said Ravi Singh of Religare Broking. "We recommend refraining from purchasing it and advising those currently holding to consider booking profits," said StoxBox's Kushal Gandhi.
Kalyan Jewellers' stock traded lower than the 5-day, 10-, 20-, 30-day and 50-day simple moving averages (SMAs). The counter's 14-day relative strength index (RSI) came at 23.50. A level below 30 is defined as oversold while a value above 70 is considered overbought.
Business Today provides stock market news for informational purposes only and that should not be construed as investment advice. Readers are encouraged to consult a qualified financial advisor before making any investment decisions.