Ola Electric Shares Fall For 10th Straight Session, Stock Down 78% From Peak

Mumbai: Shares of Ola Electric Mobility Ltd continued to slide on Tuesday, January 20, extending losses for the tenth trading session in a row. The stock fell nearly 5 percent during the day and is now trading close to its record low levels, wiping out all the gains made in early January.

On Tuesday, Ola Electric shares were trading around Rs 34, down about 4.8 percent. This brings the stock close to its all-time low of Rs 30.76. The shares are now down nearly 78 percent from their post-listing high of Rs 157 and have fallen more than 50 percent from the IPO price of Rs 76 per share.

The recent fall follows a brief rally at the start of January. Ola Electric shares had risen more than 20 percent in the first three trading sessions of the year-January 1, 2 and 5-after reports suggested some improvement in the company’s market share. However, the gains did not last, and the stock has been under steady selling pressure since January 5.

Adding to investor concerns, the company informed stock exchanges on Monday that its Chief Financial Officer, Harish Abichandani, resigned citing personal reasons. His resignation took effect immediately, and he was relieved of his duties by the end of the day. Ola Electric also announced the appointment of Deepak Rastogi as the new Chief Financial Officer.

There are also pending disclosures that investors are watching closely. Ola Electric has not yet released its shareholding pattern for the quarter ended December 31. The company is also yet to announce its financial results for the December quarter.

Since listing in August last year, the stock has struggled to deliver consistent returns. Out of the five full quarters since listing, Ola Electric shares have posted negative returns in four quarters, highlighting weak investor confidence.

In December, the company had come into focus after promoter Bhavish Aggarwal sold shares worth nearly Rs 300 crore. Ola Electric clarified that the sale was done to fully repay a promoter-level loan of about Rs 260 crore and to release 3.93 percent of shares that were earlier pledged. The move resulted in the removal of all promoter pledges.

With the stock near record lows and key updates still awaited, investors remain cautious as the company navigates a challenging phase in the market.

Disclaimer: This news report is based on exchange disclosures and media reports. It does not constitute investment advice. Readers should consult financial advisors before making investment decisions based on this information.