What is there in MMTC stock ?

Question

The people are buying this stock at the price of Rs.24000/- The EPS is just 41.23. Face Value is Rs.10/- PE is 564.88.Dividend paid is 55%

In the case of RIL the price is Rs.2160/- The EPS is 133.82 and the PE is 15.58. The dividend paid also 130%. What is the stuff that makes people buy this script.

Can someone give the reason.

Answer 1

DEAR, i want clear that in that case no theory , no principal are worked

IT IS NONE OTHER THEN SATTA , SAME THING ARE HAPPENING WITH bloody EDUCOMP SOLUTION

Answer 2

Well.... during good times having no reason to not buy share itself is a good thing. And during bad times things reverse. Sarcasm and Philosophy apart, in your way o flookin at things you should never look at the Face Value of a share as it is a meaningless number. Instead, you should look at the Book Value of a share (BV).

BV = (Total Assets - Total Liabilities)/# Shares.

This tells you how much money would each shareholder get if the business were to repay all its loans and close its operations by selling all the assets.