Share Markets: 2024 was a volatile year for the Indian stock market. The first half of this year witnessed record-breaking growth. At the same time, the trend of decline in the market is continuing since the month of September. Market sentiment remains weak at present due to reasons like poor quarterly results of companies, slow pace of GDP growth, China’s incentive package and heavy selling by foreign investors. Due to this, while some companies gave excellent returns to the investors, some stocks did not live up to the expectations. Even within Nifty 50, there were some stocks which disappointed investors with their performance. Let us know about the top 5 loser stocks of 2024.
1. IndusInd Bank
This was the worst performing stock of Nifty this year. Its shares fell by more than 40%. Due to the bank’s large stake in the microfinance segment and poor results for the September quarter, its stock remains under pressure. The bank now plans to sell microfinance loans worth Rs 1,573 crore, but investors are keeping a close eye on how successful the bank is in improving its asset quality and loan growth.
2. Asian paints
It is the largest paint company in India. This year its shares have declined by about 33%. The company’s market cap declined by Rs 1.07 lakh crore, which is the biggest loss in the market cap of any company this year. Asian Paints’ performance deteriorated due to weak demand, margin pressure, and entry of new rival companies into the market. Apart from this, the decline in PE ratio has also further weakened the investor sentiment.
3. Nestle India
The company lost the confidence of investors this year and it declined by about 18 percent. This year there was controversy regarding high levels of sugar in the company’s baby food products. Although the company has made efforts to reduce the sugar content, investors still remain cautious. Apart from this, food inflation, increase in raw material costs and weak demand in urban areas also badly affected the company’s performance.
4. Tata Consumer Products
Its shares declined by about 15.47% this year. Due to irregularities in the weather, its production of tea and salt was affected. The company has increased the prices of its tea brands, but the impact of increase in input costs is still visible. Its market share in the tea segment has also decreased. Additionally, its beverage and ready-to-drink segments were also seen struggling.
5. Adani Enterprises
It is the main company of Adani Group. Its performance has also been weak in 2024 and it has declined by around 15.44 percent. The stock witnessed a decline in 2024 due to challenges on the earnings front and news of regulatory scrutiny. Allegations of alleged bribery in securing power contracts weakened investor sentiment. Due to this, there was a sharp decline in the shares of Adani Enterprises.
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