Rahima Food stocks jump 49% in six days
The company says no price sensitive information was behind the unusual price hike
In recent times, the share price of Rahima Food Corporation has increased abnormally, with a 49% jump in just six days without any significant changes in its financials.
According to the data available with the Dhaka Stock Exchange (DSE), between 8 and 16 March, the company's share price shot up from Tk179 to Tk266.8 each.
In response to the DSE query regarding the abnormal price hike, the company said, "There is no undisclosed price sensitive information behind the recent unusual price hike and increase in the volume of shares."
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In July 2020, the country's premier bourse delisted the company and Chittagong Stock Exchange (CSE) suspended the share trading as it was not in operation for a long time.
But on 29 December 2020, the company got re-listed on the DSE and was placed under the 'A' category.
According to the financial statements, the company returned to profit from huge losses in the first half of the 2020-2021 fiscal year.
In the July-December period, Rahima Food posted a profit of Tk16 lakh and earnings per share (EPS) stood at Tk0.08.
At the same time of the previous fiscal year, the company incurred a loss of Tk3.10 crore and EPS was negative Tk1.55.
In the October-December quarter, its EPS stood at Tk0.03, which was Tk0.22 during the same time of the previous fiscal year.
After changing the nature of business in 2017, Rahima Food is now engaged in coconut oil production.
Earlier, the company was engaged in refining edible oil but faced a huge loss for years due to the scanty marketability of its products.
Rahima Food was incorporated in 1990 and listed on the stock exchanges in 1997.
