India, July 6 -- Shares of a Howrah-based children's garment manufacturer came under heavy selling pressure after the company's board approved unaudited results for the quarter ended June 30, 2026, a filing that on the surface showed standalone profit more than doubling year-on-year. The stock's reaction stands in sharp contrast to the reported numbers, and the gap is worth unpacking before drawing conclusions either way.

The shares of Karnika Industries were last traded at approximately Rs. 91.05 apiece, down around 18 percent from the previous closing price of Rs. 111.75, taking the market capitalization to roughly Rs. 568.31 crore. It is trading at a P/E of 37.04

On a standalone basis, revenue from operations rose 79.6 percent year-o...