How Ola Electric performed since listing in comparison to other newly-listed IPOs?

In August 2024, the stock market saw a rise in IPO activity with a range of companies hitting the trading floor, each with varying degrees of success. One of them was OLA Electric Mobility, manufacturer of EVs and certain core EV components like battery packs, motors, and vehicle frames. Data available from ACE equity shows in the last week, shares of OLA declined 5% from Rs 133.08 on August 16 to Rs. 126.21 on August 23. 

Here is how some major IPOs, which listed in August, have performed since their market debut:

OLA Electric Mobility listed on August 9 with an issue price of Rs 76 per share. However, by August 23, OLA Electric had surged to Rs 126.21, representing a remarkable 66% gain since listing. This IPO’s impressive performance was reflected in its latest market capitalisation of Rs 55,669 crore.

Another notable IPO was Akums Drugs & Pharmaceuticals, which made its debut on August 6. Initially offered at Rs 679 per share, Akums’ stock was listed at Rs 725 on listing day. By August 23, it had risen to Rs 940.95, marking a substantial 30% gain. The company’s IPO was well-received, with a market cap of Rs 14,810 crore, highlighting robust interest in the pharmaceutical sector.

In contrast, the IPO of Brainbees Solutions, which got listed on August 13, had a moderate performance after listing. Offered at issue price of Rs 465 per share, it saw a significant 34% initial jump while listing at Rs 625. However, by August 23, the stock had only marginally increased to Rs 638.55, reflecting a modest 2% gain in secondary market. It has market cap of Rs 33,153 crore.

Ceigall India, which went public on August 8 at issue price of Rs 401, saw a slight rise to Rs 413 on its listing day. However, the stock fell to Rs 400.75 by August 23, resulting in a slight loss of 3%. The company’s market capitalisation stood at Rs 6,981 crore.

Unicommerce eSolutions and Saraswati Saree Depot also experienced challenges after listing. Unicommerce, which was issued at Rs 108 on August 13, saw its price listing at Rs 230. However, the stock fell to Rs 225.80 August 23, resulting in a small loss of 2%. While Saraswati Saree Depot had an issue price of Rs 160, the stock got listed at Rs 200 on August 20 but dropped to Rs 180.10, marking a 10% loss since listing as on August 23. After these declines, the companies’ market caps were Rs 2,313 crore and Rs 713 crore, respectively.

Overall, August 2024 was a month of diverse performances in the IPO market, with high gains for some and disappointments for others, reflecting the unpredictable nature of stock market investments.