What Impacted Delta Corp's Share Price Movement?

What Impacted Delta Corp's Share Price Movement?

Delta Corp, a leading gaming and hospitality company in India, has seen a significant fluctuation in its share price over the past few years. From a high of INR 365 in 2017, the stock fell to INR 45 during the COVID-19 pandemic in 2020, and has since rebounded to INR 200 in 2021. This article will explore the factors that impacted Delta Corp's share price movement and analyze its future prospects.

The Impact of COVID-19 Pandemic

The COVID-19 pandemic had a significant impact on Delta Corp's share price movement. The pandemic led to a nationwide lockdown, and the company's operations were shut down for several months. As a result, Delta Corp's revenue and profits were severely impacted, which led to a significant decline in its share price. However, with the easing of lockdown restrictions, the company's operations have resumed, and its share price has rebounded.

Regulatory Environment

Theregulatory environmentin India also plays a crucial role in Delta Corp's share price movement. The gaming industry in India is highly regulated, and any changes in the regulatory environment can have a significant impact on the company's operations. In 2019, the state of Goa, where Delta Corp operates its casinos, increased the annual license fees for casinos, which led to a decline in the company's share price. However, the company was able to negotiate a reduction in the license fees, which helped to stabilize its share price.

Expansion Plans

Delta Corp has been expanding its operations in recent years, which has helped to boost its share price. In 2019, the company opened its first integrated resort in Daman, which includes a casino, hotel, and entertainment facilities. The company has also announced plans to open a new casino in Nepal and is exploring opportunities in other countries. Theseexpansion planshave helped to enhance the company's growth prospects and have contributed to its share price performance.

Investment Prospects

Delta Corp's share price movement has been volatile over the past few years, but the company's long-term growth prospects remain promising. The gaming industry in India is expected to grow at a significant rate, and Delta Corp is well-positioned to benefit from this growth. The company has a strong brand presence and a diversified portfolio of gaming and hospitality assets. Investors who are interested in the gaming industry in India may consider investing in Delta Corp for its growth prospects.

Conclusion

Delta Corp's share price movement has been impacted by various factors, including the COVID-19 pandemic, regulatory environment, and expansion plans. The company's long-term growth prospects remain promising, and investors may consider investing in the company for its growth potential in the Indian gaming industry. However, investors should also be aware of the risks associated with investing in a highly regulated industry and should conduct their due diligence before investing.