Gensol Engineering's stock plummets after investor sell-off

Gensol Engineering Ltd experienced a wave of investor sell-offs on Thursday, as major backers pulled out their investments. Multiplier Shares and Stock Advisors were among those who sold large amounts of shares due to growing concerns about the company's finances. The stock price has dropped 58% in the past month following several credit downgrades. On this day alone, Multiplier Shares and Stock Advisors sold 200,000 shares at an average price of Rs 242.44 each. India Chain Pvt Ltd sold 430,000 shares at Rs 236.74, while Cinco Stock Vision offloaded 230,000 shares at Rs 244.37. Agnija Tie-Up Pvt Ltd also sold 200,000 shares at Rs 237.9. This sell-off caused Gensol's stock to fall by 3.85%, closing at Rs 238.50 on the Bombay Stock Exchange. The company's market capitalization took a hit, dropping to Rs 906.36 crore, with 168,000 shares traded, resulting in a turnover of Rs 4.07 crore. Gensol’s recent decline is mainly due to credit rating downgrades from CARE Ratings and ICRA. These agencies have expressed concerns about the company’s ability to service its loans on time. Gensol Engineering specializes in engineering, procurement, and construction services for solar power plants in India. While it plays a crucial role in the country's energy sector, its financial issues are raising doubts about its future growth. Investors are now paying close attention to how Gensol will manage these challenges going forward.