Is CALS Refineries a good buy at Rs 0.12? Very cheap price!

fireboltt

NewTrader2024 NEW
Posted 6 days ago
Hi friends,

I saw CALS Refineries trading at just Rs 0.12 on BSE. The price is very low so I think it can give good returns. If it even goes to Rs 1 or Rs 2, thats 10x-20x returns!

Should I buy 50,000 shares? Total investment will be only 6000 rupees. What do you think?

fireboltt

@NewTrader2024 - Please DO NOT buy CALS Refineries. This is a classic penny stock trap!

CALS Refineries was involved in the Ketan Parekh scam in early 2000s. The company was used for GDR (Global Depository Receipt) manipulation and price rigging. SEBI has banned this company multiple times.

Current facts about CALS Refineries:

Zero revenue/sales
Negative profits
Under GSM (Graded Surveillance Measure) Stage 6 on BSE
Contingent liabilities of Rs 587 Crores
Promoter holding is very low

Just because price is low doesnt mean its cheap. This company has no business operations. Your Rs 6000 will most likely become Rs 0.

fireboltt

RajeshMumbai
Posted 6 days ago
I agree with @VeteranInvestor_VJ completely. CALS Refineries is a zombie company with no operations.

I made mistake of buying such penny stocks in 2018 thinking they are "cheap". Lost 80% of my investment. These companies only exist on paper, no real business happening.

If you want to invest Rs 6000, buy good bluechip stocks or index funds instead. Dont waste money on such junk.

fireboltt

NewTrader2024 NEW
Posted 6 days ago
Thank you @VeteranInvestor_VJ and @RajeshMumbai for warning. I didnt know about the scam history. Will avoid this stock completely.

Appreciate the help!