Thursday, June 12, 2025
HomeStocksVishal Mega Mart shares trade flat after giving 42% listing gains

Vishal Mega Mart shares trade flat after giving 42% listing gains

-

[ad_1]

After listing at a premium of 41%, Vishal Mega Mart shares were trading flat on the BSE, meanwhile, they rose 5% on the NSE at Rs 109 on both exchanges around 11:30 AM today.

The stock opened with a 33.3% premium at Rs 104 on the NSE and a premium of 41% on the BSE at Rs 110.

Despite the offer being entirely an OFS, Vishal Mega Mart received healthy demand from all sets of investors, especially from the QIB category who bid more than 85 times, while retail investors had shown less interest due to OFS concerns.

Additionally, Since the IPO was an OFS, the company will not receive any proceeds from the issue.

Post listing, here is what analysts say about the stock:

“Vishal Mega Mart’s IPO saw a strong debut on the stock market with a 3.33% listing gain, opening at Rs 104 compared to its issue price of Rs 78. This positive momentum can be attributed to its strong subscription of 28.75 times, reflecting high investor demand. The company’s position as a leading offline retailer, consistent financial performance, and reasonable valuation resonated well with investors,” said Shivani Nyati, Head of Wealth at Swastika Investmart.

However, given that this was a complete offer for sale (OFS), it should be noted that there are no direct benefits to the company, making it a play purely on market sentiment and its growth story in the retail sector.

“Investors are advised to book profits at this level, while those looking to hold should maintain a stop loss at around Rs 95,” Nyati added.

Further, analysts at Bajaj Broking highlight that over the past three fiscal years, the company has posted an average EPS of Rs. 0.82 (basic) and an average RoNW of 6.85%. The issue is priced at a P/BV of 5.94 based on its NAV of Rs 13.14 as of September 30, 2024, and post-IPO NAV.

“We recommend to subscribe the IPO with a long-term perspective,” said the report by Bajaj Broking.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)

[ad_2]

Source link

LATEST POSTS

Soft Play Bus Essex with Squeeze Rollers & Dizzy Discs – A Fun-Filled Mobile Adventure

In today’s world of children’s entertainment, finding activities that combine physical play with safety and creativity can be a challenge. The Soft Play Bus Essex offers a...

WitchSpin Casino: Daily ₱777 Bonus Explained

Online casinos attract players by offering exciting games and generous bonuses. One of the most popular features of WitchSpin Casino is its daily ₱777 bonus....

Gaming and Adventure Combined: The Ultimate Guide for Norwegian Tourists

For many Norwegian tourists, traveling is all about exploring new places, immersing themselves in different cultures, and seeking unforgettable adventures. But what if your journey...

Non-Disclosure Agreement for Customer Privacy Protection

In today's digital age, privacy concerns are more significant than ever, especially when it comes to safeguarding the personal and sensitive information of customers. Businesses...

Most Popular

spot_img