Ola Electric share price jumps 19% after flat start

Business: Stock Market Today- Ola Electric share price witnessed strong buying interest after a flat listing on the Indian stock market during Friday’s deals. Ola Electric Mobility’s stock listed at ₹76 per share on BSE and NSE today. However, after the flat listing, Ola Electric shares attracted strong buying interest among Dalal Street bulls, leading to a surge in the trading volume of the newly listed stock from ₹6 crore to over ₹34 crore within an hour of its debut. Ola Electric share price continued its upward movement and touched an intraday high of ₹90.88 per share on NSE, registering a gain of about 19.50 per cent against the upper price band of Ola Electric’s IPO price. According to stock market experts, Ola Electric shares have witnessed a decisive surge in trading volumes, indicating strong buzz among institutional investors. Therefore, the rally in Ola Electric’s stock price may continue for some more time as institutional investors will not sell in the near future after listing. Therefore, the downside in the stock is also limited. He advised Ola Electric shareholders to hold this stock for two to three years as this stock can create wealth in one’s stock portfolio. He advised Ola Electric shareholders to hold this stock by maintaining a stop loss at ₹ 75.

Ola Electric Share Price Forecast
Regarding the share price outlook of Ola Electric, Prashant Tapase, Senior Vice President – Research, Mehta Equities, said, “Despite receiving much lower demand than the market expectation, Ola Electric’s share price listing well above market expectations can be attributed to the mood of the Indian market. Post listing, the short-term outlook remains the same due to weak financial position and risk of negative cash flows in the future, and allotting investors should understand the risk before holding, which may adversely impact its consolidated financial position post listing. Taking all factors into consideration, we recommend only risk-taking investors to continue with it with a minimum holding period of 2-3 years.” Advising Ola Electric shareholders to hold the stock for the medium to long term, Arun Kejriwal, Founder, Kejriwal Research and Investment Services, said, “At the time of listing, the trading volume of Ola Electric shares was around six crores which increased to over 34 crores within an hour of the stock listing. This means that institutional buying has taken place at dangerous levels, and hence, the possibility of Ola Electric share price recovering from the high levels is limited. Hence, Ola Electric shareholders are advised to hold the stock while maintaining a stop loss at ₹ 75.”