The company's share price increased from ₹ 21.02 to ₹ 78.2 between 02 December 2024 and 16 January 2025 - a rise of 372 percent in just one month. Its P/E ratio increased to more than 4 lakh. Market regulator SEBI (Securities and Exchange Board of India) has expressed concern over this entire matter and warned. This is wrong. Immediate action will have to be taken on this.

What is the matter - The name of the company is Pacheli Industrial Finance Ltd. Its P/E ratio has increased to more than 4 lakhs. As of January 16, 2025, it was 4,05,664.

The company has not reported any operating income in FY22 and FY23. In FY24, poor loan recovery and interest income from loans resulted in an income of Rs 1.07 crore. P/E Ratio, also known as Price to Earnings Ratio, is an important valuation metric for investing in the stock market. It shows the ratio between the price of a company's stock and its earnings per share (Earnings Per Share - EPS). Investors often use it to justify the "valuation" of a stock i.e. its price. If the P/E ratio is high, it may mean that investors are expecting growth in the company's earnings in the future. However, it can also be a sign that the stock is overvalued. Low P/E ratio: If a stock has a low P/E ratio, it may be undervalued, or it may also mean that the company has poor growth prospects. Assessing the company's earnings - The P/E ratio reflects the company's current earnings and helps estimate how much profit the company can generate for its investors in the future. A very high or very low P/E ratio indicates that the investment is risky. Now SEBI's warning and action- SEBI's order said, "There is a lot of disparity between the share price and the fundamentals of the company. In such a situation, necessary steps need to be taken immediately for the interests of investors. The company has taken a loan of Rs 1000 crore from 6 companies without giving any reason. Later this loan was converted into equity through preferential allotment. That is why this company has now come on the radar of agencies. Market regulator SEBI has given a strict decision against PIFL in the pump and dump case. SEBI has banned the company and 6 other entities from trading in the stock market. Pacheli Industrial Finance Ltd. What does the company do- Pacheli Industrial Finance Ltd. is an Indian company. According to the information given on the company's website - it is mainly related to financial services and consultation services. Vedanta Share: Big news for those who buy shares on the exchange - it is important to know Provides consultation services in the real estate sector. Investment in shares and securities: Investment in shares and securities It deals in lending and borrowing. It was started on 16 October 1985 as Dhoot Finance Company Private Limited. Later it was converted into a public limited company and the name was changed to Dhoot Housing Finance and Constructions Limited. In January 2016, the company was renamed as Pacheli Industrial Finance Limited.