Ola Electric, while continuing to be the largest EV scooter maker in the country, is finding itself in an increasingly precarious position. A reflection of the same is seen in the performance of the company shares in the recent past.
Ola’s Conundrums
The company shares have endured decline, one week after week. In fact, Ola Electric has had a few green weeks, wherein the company shares have closed the 5-day period with any gains.
This past week, Ola Electric shares had a major reason to be concerned. The company showrooms, which mushroomed one after the next, as apart of the company boss Bhavish Aggarwal’s ambitious drive to put up physical showrooms have come at a cost.
The cost of raids from authorities over regulatory violations. In some cases, as per reports, some showrooms in the country are shuttering under the fears of raids from authorities.
These raids were conducted by authorities over alleged trade certificate violations.
The Aggarwal-led company has put up over 4,000 showrooms since 2022, moving away from its online-only system.
Ola Electric Last Week
As a result of this, Ola Electric shares declined by a colossal 8.30 per cent or Rs 4.58, in the past 5 trading sessions. The last week was truncated, as the markets were shut on Friday.
In this bargain, the company shares also hit yet another all-time low of Rs 50.30 per piece. In the past month alone, along with the larger decline in the equity markets, the company shares also dipped by Rs 10.66 or 17.39 per cent.
Ola Shares In 6 Months
In the past 6 months of trade at the National Stock Exchange, the company shares have shrunk by over a half, therefore decreasing by a monumental 52.95 per cent or Rs 56.97.
This cumulative decline has pulled the price of Ola shares down, ferociously to Rs 50.63 per piece.
