Less than half of IPOs listed in last 6 years are trading below their issue price, nearly 19% in loss of 25-50%: Report
Mumbai (Maharashtra) [India], February 4 (ANI): Less than half of the IPO's listed during the last six years are trading below their issue price, and nearly 19 per cent of them are at a loss of 25-50 per cent from their IPO price, suggests data shared in a report by Axis Capital.
The report data showed that around 180 out of 374 companies listed in the last 6 years are currently trading below their issue price.
The report further highlighted that 50 companies, or 13 per cent, are currently trading at losses ranging between 10 and 25 per cent, while 26 companies, or 7 per cent, are trading up to 10 per cent below their issue price.
Data in the report also showed that around 194 out of 374 companies, or roughly half of all listed IPOs in the last six years, are trading above their issue price.
Looking at companies trading in profit, the report noted that 57 companies, or 15 per cent of the total companies, are trading more than 100 per cent higher than their issue price. Another 44 companies, or 12 per cent, have gained between 50 and 100 per cent.
In addition, 33 companies, or 9 per cent, are trading up to 10 per cent above their issue price.
The report, which reviews the performance of Mainboard IPOs and FPOs listed between July 2020 and January 2026, covers 374 companies across different market cycles.
The data showed that investing in IPOs over the last six years has delivered strong gains for some companies, but a large number continue to remain under pressure, even several years after listing.
An Initial Public Offering (IPO) is the process through which a private company raises capital by selling shares to the general public for the first time. It transforms a private firm into a publicly traded one, allowing it to list on stock exchanges. (ANI)
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