Shiprocket shares soar 10% after bumper market debut, rally 48% from IPO price. Time to buy or sell?
Shiprocket shares extended their post-listing rally, after making a strong debut at a 35% premium to the IPO price. The stock touched Rs 144, taking its gains from the issue price to over 48%. Analysts advised allotted investors to book some profits, while fresh investors should wait for dips.
Shiprocket shares surged 10% following a successful IPO debut on Wednesday, initially trading at a 35% premium over the issue price. The company's shares opened at Rs 129.50 each, above the IPO price of Rs 97, and continued to climb to Rs 144, marking a 48% gain from the original price. The IPO, raising Rs 1,617.48 crore, saw 99% subscription, reflecting strong investor interest.
Analysts suggest that investors with allotments should consider taking profits post the market rally, while new buyers should adopt a wait-and-watch approach, monitoring potential dips for better entry points. The stock's performance aligns with grey market expectations, where Shiprocket's shares previously traded at a 33-36% premium to the IPO price. Company executives plan to utilize the raised capital towards enhancing their technology infrastructure, expanding market reach, and pursuing growth opportunities.
Expert opinions vary, with some advising a partial profit booking for allotted shares and holding the rest for the long term, while others suggest a 'Buy on Dips' strategy for fresh investors, keeping a stop-loss around Rs 110 per share. Experts view the strong market response as indicative of robust investor appetite and maintain a positive outlook on Shiprocket's future prospects.
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