Penny Stocks Crash: These 5 penny stocks fell by 56% in two weeks, do you also own their shares?

News Topical, Digital Desk : The stock market has seen significant volatility over the past two weeks. Amid the recent market correction, here are 15 penny stocks that have seen significant declines ranging from 15% to 55%. If you also prefer to invest in cheap stocks, this information may be useful.

How were these stocks selected?

These worst-performing stocks were identified through a special screening process. The primary purpose of this screening was to identify low-priced, actively traded penny stocks that have recently seen significant pressure. The following criteria were used.

1. Market cap: Less than Rs 1,000 crore
2. Share price: Less than Rs 20
3. Trading Volume: Minimum 5 lakh shares

Top 5 Penny Stocks That Crashed the Most

1. SRU Steels

• 2-week performance: -56%
• Previous Closing Price: ₹1.47
• Market Cap: ₹8.81 crore

Established in 1995, the company is primarily in the business of trading stainless steel.

2. Supha Pharmachem (Remedium Lifecare)

• 2-week performance: -34%
• Previous Closing Price: ₹0.45

Established in 1988 (Remedium Lifecare Limited) the company is engaged in trading of advanced pharmaceutical intermediates and other pharma products.

3. Parle Industries

• 2-week performance: -33%
• Previous Closing Price: ₹4.96

This company, formed in 1983, is involved in the business of infrastructure and real estate development.

4. A-1 Acid Limited

• 2-week performance: -28%
• Previous Closing Price: ₹18.16
• Market Cap: ₹835 crore

Established in 2004, the company is engaged in wholesale trading of acids and chemicals as well as transportation business.

5. Navkar Urbanstructure

• 2-week performance: -27%
• Previous Closing Price: ₹0.95
• Market Cap: ₹107 crore

Started in 1992, the company is engaged in construction and development of infrastructure projects including RCC and RMC pipes.

The Big Risks of Investing in Penny Stocks

Penny stocks attract investors due to their low entry price and the potential for quick profits. However, they also carry a high degree of risk. Low liquidity and high volatility can make them difficult to sell due to low trading volume. Little information is available about these companies, leaving them vulnerable to price manipulation and sudden crashes. Without a clear strategy and risk management, investors may suffer significant losses instead of substantial profits.

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