Headline: IRFC tumbles to yearly low after government stake cut; OFS undersubscribed, analyst warns of further downside to ₹90–92 Indian Railway Finance Corporation (IRFC) closed Thursday at a yearly low of ₹103.20, extending a slide that has left the stock down nearly 18% year-to-date and among the market’s weakest performers. The paper has effectively been in bearish territory for more than a year, with little sustained upside during that period. What drove the drop The latest pullback followed the government’s decision to pare its stake in IRFC by 4% — from 86.36% to 82.36% — by selling shares via an Offer For Sale (OFS). The move was intended to open the stock to retail and institutional buyers, but demand proved thin: institutional bids failed to fully book the OFS, there was no oversubscription, and the disinvestment did not meet targeted fundraising levels. That lacklustre response pushed the stock lower on Thursday and stoked concerns it could slip under the ₹100 mark and revisit December 2023 lows. Analyst view and investor pain Anshul Jain, Head of Research at Lakshmishree, has previously flagged deeper downside for IRFC — predicting a fall to the ₹90–92 range. “Given the prevailing technical indicators, the stock is expected to decline further, with potential downside targets of ₹90 and ₹92,” he said. At the time of that call in 2024, the share price was near ₹140; since then the stock has largely traded sideways, leaving investors who entered positions a year or more ago holding losses. Why crypto traders might care For crypto market participants scanning broader risk sentiment and capital flows, the weak reception to a high-profile PSU disinvestment is a reminder that institutional appetite for certain traditional assets remains muted. Disappointing OFS outcomes and poor demand can signal risk-off behaviour that spills across asset classes. Bottom line IRFC’s combination of a government stake sale, undersubscribed OFS, and persistent technical weakness has pushed it to fresh annual lows and prompted calls for further declines. Traders and investors should watch subscription outcomes, bid-side interest, and technical support near the ₹90–100 band for clues on where the stock may head next. Read more AI-generated news on: undefined/news