The share price of Central Pharmaceuticals Ltd is soaring without having any undisclosed price sensitive information.
Within a month, the company's share price almost doubled to reach at Tk 16.90 on Tuesday. Its share price was Tk 8.60 a month ago.
Following the 'abnormal' price hike, the Dhaka Stock Exchange (DSE) served show-cause notice on the company on Tuesday.
The company, however, in a knee-jerk response informed the DSE on Wednesday that there was no undisclosed price sensitive information for recent unusual price hike and increase in volume of shares.
However, its share price fell 8.28 per cent to close at Tk 15.50 on Wednesday.
The company's share price also rose 'abnormally' in 2018 over rumours of ownership change at the company.
Market analysts said the investors should not pay heed to any rumours related to companies and take their investment decisions prudently.
They advised the investors to carefully invest in stocks and should analyse the fundamentals of the companies beforehand.
Senior executives of the company could not be reached over telephone.
The Central Pharma, which was listed on the Dhaka bourse in 2013, disbursed only 1.0 per cent cash dividend for the year ended on June 30, 2019.
The company's earnings per share (EPS) stood at Tk 0.11 in six months for July-December 2019 as against Tk 0.44 for July-December 2018.
The net operating cash flow per share (NOCFPS) was Tk 0.01 for July-December 2018 as against Tk 0.06 for July-December 2018.
The net asset value (NAV) per share was Tk 16.01 as on December 31, 2019 and Tk 14.87 as on June 30, 2019.
The company's paid-up capital is Tk 1.19 billion and authorised capital is Tk 3.0 billion, while the total number of securities is 119.80 million.
The sponsor-directors own 25.89 per cent stake in the company while the institutional investors own 15.47 per cent and the general public 58.64 per cent as on January 31, 2020, the DSE data shows.
babulfexpress@gmail.com