⭐️ SME Investing and the Epidemic of Expert Syndrome ⭐️
SME Investing is not suffering because of Grey Market or Telegram/Whatsapp groups. It is suffering because of a new breed of "experts" who have neither invested in the stock nor understood the business, but somehow have dedicated their lives to proving everyone else wrong BY RUNNING PROPAGANDA.
Some classic syndromes:
1⃣ "PE Dekha, Dimag Bandh" Syndrome (Featuring Shree Refrigerations)
People saw a high PE and immediately declared the company overpriced. Business kya karta hai, market size kya hai, growth visibility kya hai - usse koi matlab nahi. PE dekho, judgement do, ghar jao. Company eventually performed and gave them a reality check. But by then, enough negativity had already been spread.
Trivia - Mr. Damani had invested in HDFC Bank when it was at 100 PE.
2⃣"Main Warren Buffet Ka Chacha Hoon " Syndrome (Featuring Suba Hotels)
Some self-proclaimed geniuses concluded that because one hotel company underperformed during their growth phase, Suba Hotels must fail too.
Apparently, businesses are now solved using Class 8 algebra:
GC Hotels H1 bad Hotel sector = Suba Hotels H2 bad. Sadly for them, Suba had other plans and performed far better.
3⃣ "Begaani Shaadi Mein Abdulla Deewana" Syndrome (Featuring Maxvolt)
A large investor bought heavily. Instead of existing shareholders worrying, random bystanders who don't even own the stock became extremely concerned.
"Arre woh bechega toh kya hoga?"
Brother, he invested his money. Why are you losing sleep?
Many such people are less worried about the stock and more worried that someone else is making money.
4⃣ "AI Sabko Kha Jayega, Bas Mujhe Chhod Ke" Syndrome (Featuring Exato/TAC/TechD)
First, they terrified investors: "AI aa gaya. Company khatam."
Investors panicked and sold. Then these same experts quietly bought at lower prices, sold higher, booked profits, and came back with:
"AI aa gaya. Company khatam."
The propaganda did more harm than good for the masses.
At the end of the day, the best cure for all these syndromes is simple:
Study businesses. Ignore noise. And remember - in the stock market, people who shout the loudest are not always the ones who understand the most.
P.S - This is not an investment advice. This is a funny take on the current situation of SME. Requesting not to take any financial decisions after reading this article. I am not invested in any of these stocks, at present.