InvestorQ : Why has Spice Jet stock fallen so sharply in this week on 21 and 22 December?
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Why has Spice Jet stock fallen so sharply in this week on 21 and 22 December?

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Juvina Maggie answered.
4 weeks ago
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SpiceJet fell by 10% in early trades on Tuesday and this comes on top of another 10% fall on Monday. This was after India suspended flights to and from the UK till 31 December 2020 due to the emergence of a new strain of Coronavirus in the UK. Investors and traders were apprehensive that this decision could result in lower traffic recovery.

The irony was that only in early December Spice Jet had commenced non-stop flights connecting Delhi and Mumbai with London. Both the flights to London were operating under the air bubble agreement with the UK. In this regard, Spice Jet had also signed a code share agreement with Emirates to enable wider connectivity across the world.

Spice Jet is already under financial stress. In the first half ended Sep-20, SpiceJet reported net losses of Rs.706 crore as the total revenues from operations fell by 73% to Rs.1592 crore. Spice Jet had to cease after operating 30 long haul repatriation flights from London, Amsterdam, Toronto and Milan.

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