Why redington share is falling?

Their recent profit was a bit down. A major investor is also selling off their shares. This has put a lot of pressure on the price.

Redington’s share price often falls when quarterly earnings miss expectations. Recently, analysts pointed out slower growth in distribution of IT hardware and smartphones, which are Redington’s core business areas.

Global supply chain issues have also hurt Redington. Since they rely on imports and distribution, delays or higher costs directly affect their margins. That’s another reason investors are cautious.

Also, broader market corrections affect Redington. If IT and tech distribution sector stocks are down, Redington usually follows. It’s not always about the company’s fundamentals.

Competition is another factor. With multiple distributors entering the Indian market, Redington’s pricing power is limited. When investors sense pressure on profit margins, the stock tends to dip.

I’d say the fall is temporary. The company has diversified into cloud services and software distribution, which could support growth in the future. Sometimes the market just reacts negatively in the short term.