On news of a block deal, Max Financial shares decline by 3%.

In response to news that more than 2% of equity was transferred in a block deal, Max Financial Services' stock plummeted by about 3% today. The deal was valued Rs. 471 crore. Max Financial's stock dropped 2.75 percent to Rs 680.15 on the BSE from its previous closing of Rs 699.45.

Market value of the company decreased to Rs 23,8632 crore. The shares had earlier started off lower at Rs 687.50. The price of Max Financial stock is below the 5-day, 20-day, 50-day, 100-day, and 200-day moving averages.

The price of Max Financial's stock has dropped by 29.31% in 2022 after falling by 28.38% in one year. A 52-week high of Rs. 1081 was reached by the stock on January 11, 2022, and a 52-week low of Rs. 627.80 was reached on November 23, 2022.

A total of 12.57 lakh shares of the company were traded for a total value of Rs 85.89 crore on the BSE. For the past two sessions, Max Financial stock has been declining.

In the meantime, Emkay Global has a target price of Rs 930 for the Max Financial stock.

On December 14, when the closing price was Rs. 706.4, the call was made. According to that price, the upside was projected to be 31.72%.

The company's shares have lagged the general market and its rivals by a significant amount as a result of the twin blows of declining growth and delayed structure simplification, which includes a delay and penalty from the regulatory side. The company shares are currently selling at an FY24E P/EV of 1.6x, which ascribes very little structural value to such a potent franchise (implied 6x FY25 VNB). According to the brokerage, Max Financial's share price should experience a sustained re-rating as it advances in structure simplification and experiences a rebound in growth. Declared Emkay Global.

In comparison to the equivalent quarter of the prior year, the company's net profit increased by 29% to Rs 51.29 crore from Rs 39.63 crore.

Sales in the second quarter were flat at Rs 9316 crore vs Rs 9325 crore in the equivalent quarter of the previous fiscal.