Prudent Corporate Advisory shares jump nearly 5% in debut trade

Shares of Prudent Corporate Advisory Services on Friday made its debut with nearly 5 percent premium against the issue price of Rs 630.

The stock listed at Rs 660, reflecting a jump of 4.76 percent on the BSE.

At the NSE, it made its debut at Rs 650, a gain of 3.17 percent.

The initial public offer of Prudent Corporate Advisory Services was subscribed 1.22 times earlier this month.

The Rs 538.61-crore IPO had a price range of Rs 595-630 per share.

Debuts at 3.2% above its issue price

Santosh Meena, Head of Research, Swastika Investmart Ltd. Prudent Corporate Ltd. has debuted at Rs 650 i.e. 3.2 percent above its issue price. The company’s tepid listing can be attributed to the rich pricing of the issue and the competitive and regulated nature of the industry.

The company operates in an underpenetrated Indian asset management industry and has a consistent track record of profitable growth due to a highly scalable, asset-light, and cash generative business model. We suggest long-term investors accumulate this stock gradually on dips. Those who applied for listing gains can maintain a stop loss of Rs 600, Meena said.

Prudent Corporate Advisory Services is one of the leading independent retail wealth management services groups (excluding banks) in India and is among the top mutual fund distributors in terms of average assets under management and commission received.

Published on: Friday, May 20, 2022, 11:33 AM IST