Junk stocks, including those which were on the chart of top gainers in 2023, dominated the chart of top losers of the first session of the New Year 2024.
The companies on the chart of Monday's top 10 losers included Imam Button Industries, Khulna Printing and Packaging, Libra Infusions, and Aziz Pipes.
They lost prices between 6.77 per cent and 9.85 per cent on the Dhaka Stock Exchange (DSE). Some of the junk stocks had experienced price correction for more than a week before the year end.
However, Khan Brothers PP Woven Bag Industries, which witnessed the highest appreciation of 676 per cent in the outgoing year, continued its upward trend.
Not only has the company been incurring losses but also suffers from a severe working capital shortage. It has been subcontracting works. Nevertheless, the company gained a marginal rise of 0.19 per cent on Monday.
Imam Button Industries was the day's worst loser, with a loss of 9.85 per cent.
The company, which grabbed a 162 per cent appreciation in March-November, 2023, has been in a downward trend since December. The stock declined 27 per cent till Monday.
Khulna Printing and Packaging experienced the third highest appreciation of 236 per cent in 2023, despite being in the red since 2019. The company started to see corrections since December 10 and had 27 per cent correction by Monday.
Managing Director of Midway Securities Md. Ashequr Rahman said that after an irrational rise, any correction was bound to happen.
"By offloading junk stocks, a section of investors are diverting funds to other companies," he said.
Of the other top losers, the market price of Aziz Pipes declined 6.77 per cent on Monday.
The company's share price started to decline on December 19 and came down to Tk 112.80 on Monday with a loss of 21 per cent in seven sessions. The loss-making company had a 21 per cent appreciation in 2023.
Libra Infusions declined 7 per cent on Monday. This company has reported losses since 2020. Still, it gained a price hike of 73 per cent on the DSE in 2023. Its price correction started on December 19 and the trend continued till Monday.
Shyampur Sugar Mills, which experienced a 106 per cent appreciation in 2023, started to lose value on December 26. The company lost 18 per cent market value in just three sessions.
Emerald Oil Industries was also on the chart of top gainers in 2023, having an appreciation of 106 per cent.
The stock started its decline on November 1, 2023 and the trend continued till Monday. In the last two months, the company's share price plunged 49 per cent. The other top losers on Monday were Gemini Sea Food and Standard Ceramics.
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