Ola Electric Shares Surpass Rs 100 Mark and Sees a 20% Increase on the Second Day

Despite the market's unfavourable sentiment, shares of Bhavish Aggarwal's Ola Electric Mobility rose on the bourses on Monday. The company's shares surged 19.99% to reach the BSE's upper circuit of Rs 109.41.

Since going public on Friday, August 9, 2024, Ola Electric Mobility's shares have increased in value, rising 43.97% in total. Before that, on Friday, shares rose 20% to reach the upper circuit at Rs 91.18 per share on the BSE following a flat opening.

Analysts, however, continued to have doubts about the business following its underwhelming launch. Senior Vice President (Research) Prashanth Tapse of Mehta Equities stated that the fear of a discounted listing was unfounded and that significant buying was observed after the listing. According to Tapse, the long-term narrative is still intact, and the news that the Ola electric bike will launch in India on August 15 is what has markets interested.

"Considering all the factors, we advise only risk-taking investors to continue to hold with a minimum holding period of 2-3 years and recommend accumulating on every dip to be part of a long-term journey," Tapse stated.

Earlier on Friday, Ola Electric Mobility also disclosed to the markets through a regulatory filing that the company's Board of Directors will meet on Wednesday, August 14, 2024, to discuss and approve the unaudited standalone and consolidated financial results for the quarter that concluded on June 30, 2024.

In India's electric two-wheeler market, Ola Electric holds a nearly 35% market share as of FY24. The company is working to develop manufacturing capabilities and vertically integrated technologies for EVs and their component parts, including cells. On August 12, 2024, Ola Electric's market capitalisation on the BSE was Rs 46,278.43 crore.