PhysicsWallah IPO opens: Check all details, latest GMP, analyst reviews, key risks & more

The initial public offering (IPO) of PhysicsWallah opens for bidding on Tuesday, November 11. The ed-tech player shall be offering its shares in the range of Rs 103-109 apeice. Investors can apply for a minimum of 137 equity shares and its multiples thereafter. The issue shall close for bidding on Thursday, November 13.

PhysicsWallah shall raise a total of Rs 3,480 crore via IPO, which includes a fresh share sale of Rs 3,100 crore and an offer-for-sale (FOS) of up to 3,48,62,395 equity shares worth Rs 380 crore. The net proceeds from the issue shall be utilized towards capital expenditure of new and existing centres, investments in subsidiaries, investment in cloud and AI infra and general corporate purposes.

PhysicsWallah is an edtech company offering test preparation courses for various competitive examinations and upskilling courses like Data science and analytics, banking and finance, software development, etc. It offers online services via social media channels, website and apps and also offers tech-enabled offline centers and hybrid centers. It is among the top 5 edtech companies.

PhysicsWallah raised Rs 1,562.85 crore from 57 anchor investors as it allocated 14.33 crore equity shares at Rs 109 apiece. Marquee names including Goldman Sachs, Smallcap World Fund, Franklin Templeton, FundPartner Solutions, Fidelity Funds, TIMF Holdings, Pinebridge Global Funds, Eastspring Investments, Invesco India, Edelweiss and more participated in the anchor book.

PhysicsWallah reported a net loss of Rs 127.01 crore with a revenue of Rs 905.41 crore for the three-months ended on June 30, 2025. Its net loss came in at 243.26 crore with a revenue Rs 3,039.09 crore for the year ended March 2025. At the current valuations, the company is commanding a market capitalization of more than Rs 31,100 crore.

PhysicsWallah has reserved 75 per cent of the net offer qualified institutional bidders (QIBs), while non-institutional investors will get 15 per cent shares. Retail investors have an allocation of only 10 per cent in the IPO. Last heard, the company was commanding a grey market premium of Rs 3 per share, suggesting nearly 3 per cent gains for the investors.

Kotak Mahindra Capital Company, JP Morgan India, Goldman Sachs (India) Securities and Axis Capital are the book running lead managers of PhysicsWallah IPO and MUFG Intime India is the registrar of the issue. Shares of the company shall be listed on both BSE and NSE on November 18, Tuesday. Here's what a dozen brokerage firms say about the IPO of PhysicsWallah:  

SBI Securities

Rating: Neutral

PhysicsWallah (PW) offers test-preparation courses for competitive examinations and other upskilling courses. Its channels of delivery include online, tech-enabled offline centers or hybrid centers. It is among the top 5 edtech companies in terms of revenue in India and has 13.7 million subscribers as of July 2025 on its main YouTube channel, said SBI Securities.

"Over the last three years, PW has delivered sales/Ebitda CAGR of 96.9 per cent/88.8 per cent respectively, while the company’s net loss has widened from Rs 81 crore in FY23 to Rs 216 crore in FY25 due to higher depreciation expenses and impairment losses on financial assets. We maintain a 'neutral' view on the issue and would like to monitor the performance post listing," it added.  

Anand Rathi Share & Stock Brokers

Rating: Subscribe for long-term

PhysicsWallah is valued at 10.8 times FY25 P/S, implying a post-issue market capitalization of Rs 31,169.9 crore million. They aim to grow their student community by offering engaging free content across platforms and converting users into paying customers through better technology, targeted marketing, and expert-led high-quality content, said Anand Rathi.

It plans to broaden its course portfolio and launch new Education Categories in multiple Indian languages to reach a wider student audience. They intend to keep innovating to introduce value-added services that enable upselling of additional offerings at minimal incremental cost. Considering these factors, the IPO appears fully priced and has a 'subscribe for long term' rating," it said.  

Swastika Investmart

Rating: Avoid

PhysicsWallah is an Indian education technology company, offering comprehensive online and offline learning solutions. Despite being a leader in its segment with consistently rising revenue, the company continues to report net losses, said Swastika Investmart.

"Since it remains loss-making across the reported periods, the issue carries a negative P/E ratio. Given the high valuation and continuing losses, conservative investors are advised to avoid this IPO and wait for clearer profitability visibility," it added.  

Angel One

Rating: Neutral

PhysicsWallah's financials cannot be compared on a P/E basis as it remains loss-making, with no listed like-to-like peers in the Indian EdTech space. While the company continues to deliver strong revenue growth and enjoys high brand recall, profitability remains constrained by rising competition and elevated scaling costs, said Angel One with a 'neutral' rating.

Angle One has cited continued losses and uncertain profitability, heavy dependence on student enrolments and key faculty, and execution challenges from rapid offline expansion as key risks for the issue. Rising competition and high operating costs further add to profitability and scalability risks.  

InCred Equities

Rating: Subscribe

PhysicsWallah has demonstrated significant growth over the years in both online and offline business verticals. The issue is valued at EV/sales multiple of 10.7 times based on post-issue capital. The valuation of PW seems to be stretched but looking at the strong moat and topline/business expansion, the company is well-placed to disrupt the edtech space, said InCred Equities.

As the business scales up, we expect profitability over the medium- to long-term., it added with 'subscribe' rating. However, InCred cited brand reputation among the student community is sensitive, dependence on the promoter’s face value, and high attrition rate of the faculty/talent as key downside risks.  

DR Choskey Finserv

Rating: Subscribe

PhysicsWallah’s IPO is priced at a price/revenue multiple of 7.5 times on TTM basis, reflecting its rapid growth in subscriptions and user base. Despite historical losses and governance concerns, the company’s strong brand, community-driven model, and expansion strategy support subscription for listing gains, said DR Choksey Finserv.

"The Indian education sector represents a significant and growing opportunity. The fresh issue proceeds will fund inorganic growth and technology enhancements, aligning with sector tailwinds like hybrid learning and digital penetration. We recommend 'subscribe' to the issue," it said.  

SMIFS

Rating: Subscribe

"We recommend subscribing to the issue as a good long term opportunity, backed by PW’s deep regional presence, accelerating paid user growth, rapid offline scale-up, strong digital and content ecosystem, and strategic diversification across segments and geographies, positioning it with the potential to become India’s largest education company within the next 4-5 years and a dominant force in the evolving EdTech landscape," said SMIFS.  

Lakshmishree Investment & Securities

Rating: Subscribe

PhysicsWallah IPO proceeds will be used for further strengthening this advantage, with planned investment for the aggressive expansion of its Hybrid Vidyapeeth centres and significant capital allocation towards its scalable AI and cloud infrastructure. This strategy is designed to cement its market leadership in core segments and accelerate diversification into high-value adjacent markets like skilling and government exam preparation, said Lakshmishree.

"While risks such as operational complexity from rapid offline expansion and dependence on the founder's personal brand exist, PW's established brand trust, low-cost structure, and key role in making education accessible across Tier-2 and Tier-3 cities. We recommend a ‘subscribe’ rating for investors seeking exposure to a high-growth, market-leading platform in the Indian education sector," it added.  

Kunvarji Wealth Solutions

Rating: Subscribe with caution

We recommend subscribing to this IPO for risk-seeking investors who may consider allocating moderate funds with a medium term investment horizon, said Kunvarji Wealth. "While the issue seems to be aggressively priced, the company is a leading player in the Ed-Tech industry and ranks among the top five education companies in India by revenue," it said.