Despite having a strong debut on Dalal Street, INOX India’s potential was limited by the negative mood present in the area. Should investors sell their share and book profits in such a situation, or should they hold on for potential long-term gains? That’s all there is to it.
Although it was less than what the grey market premium had suggested, investors were nonetheless given a respectable listing bounce when shares of INOX India (INOXCVA) made their debut on the public exchanges at a premium of 44%.
The National Stock Exchange (NSE) opened trading for INOX India’s shares at Rs 949.65 a share, which is 43.95 percent more than the IPO’s issue price of Rs 660. The share price made its debut on the Bombay Stock Exchange (BSE) at Rs 933.15 a share.
Despite INOX India’s strong launch on Dalal Street, the street’s negative vibe—which has been negatively impacted since yesterday due to an increase in Covid-19 instances in India and throughout the world—cut short the company’s potential.
Should investors sell their share and book profits in such a situation, or should they hold on for potential long-term gains?
Shivani Nyati, Head of Wealth at Swastika Investmart Ltd., believes that INOX India has the potential to produce significant long-term benefits.
With a listing price of Rs. 949, Inox India made its secondary market debut today, up almost 43% from its issue price of Rs. 660. A massive 61.28x subscription was received for the IPO. Even while it’s a respectable listing, it falls short of expectations, and Nyati attributed this to the negative sentiment in the market.
She clarified that INOX India is the top provider of cryogenic equipment in India and that it has benefited from increased demand in a number of industries, including food processing, healthcare, and space research.
Nyati continued by saying that the business has a robust order book and a diverse range of products, both of which should lead to future rapid growth.
“We advise holding the company with a long-term view since it has the potential to create value over the long run due to its excellent fundamentals and expanding market. Fresh purchases at a reduced price can also be taken into account, she continued.
Disclaimer: This is merely a prediction; we do not endorse or influence your choice.
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