InvestorQ : Stock is not trading much on daily basis.. some days liquidity is very very less..people are not selling.. what is it mean? is this kind of sign dangerous?
Adarsha made post

Stock is not trading much on daily basis.. some days liquidity is very very less..people are not selling.. what is it mean? is this kind of sign dangerous?

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Dia Deshpande answered.
12 months ago
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Sumedha fiscal is a very small financial services company engaged in the provision of miscellaneous financial services. In the last one year, the stock has been fairly stable but has shown some aggressive moves in between. The company declares Rs.1 as dividend and that makes the stock attractive in dividend yield terms but you need to ask yourself if the dividends are being paid out of cash flows because the operating cash flows situation of the company is quite precarious. Also, most of the large NBFCs are also struggling to survive in the current environment and that is likely to impact the performance of the stock. I frankly do not see an strong justification to either buy or hold the stock at this point of time and is best avoided.

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