Ola Electric shares fall after three days, mcap slips below Rs 19K crore; what's next?

Ola Electric Mobility Ltd shares declined by as much as 9% from the day's high on Tuesday, reversing gains from a recent three-session rally. Despite the sharp fall, the company's trading volumes reached nearly half the combined turnover seen on Friday and Monday. With this decline, Ola Electric now trades approximately 73% below its post-listing high of ₹157 and about 44% under its IPO price of ₹76 per share, bringing the company’s market capitalisation below Rs 19,000 crore.

Ola Electric shares fell 9% to Rs 41.68 from the day's high of Rs 45.84 in the current session. The stock fell 5% from the previous close of Rs 43.92. Later, Ola Electric shares closed 0.87% lower at Rs 43.54 on Tuesday. 

Market cap of the firm slipped to Rs 18,565 crore. Total 173.93 lakh shares of the firm changed hands amounting to a turnover of Rs 78.61 crore on BSE. 

In terms of technicals, the relative strength index (RSI) of Ola Electric stands at 67.3, signaling the stock is neither overbought nor oversold on charts. Ola Electric shares are trading higher than the 5 day, 10 day, 20 day, 50 day but lower than the 100 day and 150 day moving averages.

Meanwhile, vehicle registration data from VAHAN showed Ola Electric registered 9,020 vehicles in December, reflecting a boost in performance attributed to the company's Hyperservice initiative. Market share rose to 9.3% in December from 7.2% in November 2025.

The company said its market share in the second half of December climbed further to nearly 12%, indicating improving demand momentum. Revenue expectations were revised downwards, with full-year guidance now between Rs 3,000 crore and Rs 3,200 crore, compared to the earlier projection of Rs 4,200 crore to Rs 4,700 crore. Auto business margins are now anticipated at about 5%, slightly below earlier targets.

Share price targets for Ola Electric vary considerably, with Emkay at the upper end with Rs 65 per share and Kotak Securities at Rs 25.

Jigar S. Patel, Senior Manager – Technical Research at Anand Rathi said "Support for the stock is seen at Rs 38, while resistance is placed at Rs 45." He added that a sustained move above Rs 45 could lead to further upside towards Rs 47. In the near term, the stock is expected to trade within the Rs 38–47 range.

In terms of competition, Ola Electric operates in a rapidly evolving electric vehicle segment, contending with players such as Ather Energy and TVS. Industry watchers note that while the company's recent market share gains suggest improved demand, the substantial cut in revenue and margin guidance, along with ongoing stock price weakness, continues to weigh on investor sentiment.