Rajesh Exports is currently facing a severe crisis, with its stock crashing nearly 87% from its five-year high and recently hitting a 5% circuit. Despite reporting decent quarterly numbers, the company is shifting to the NSDL's "Z" group due to non-compliance with SEBI regulations, including delayed financial filings and ignored investor grievances. The management has a poor track record of transparency, and auditors have resigned. While the company processes 35% of the world's gold, it operates on razor-thin margins, raising doubts about its business model. Additionally, its ambitious lithium-ion battery project is significantly delayed, stuck at the land acquisition stage. However, Foreign and Domestic Institutional Investors (FIIs/DIIs) are buying because the stock trades at a deep discount to its asset value, and the company owns massive global assets, including a major refinery in Switzerland. They are betting on a potential turnaround if compliance issues are fixed, though retail investors face high risks of delisting.

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