Ola Electric share price: Brokerage firm Anand Rathi has said that the stock looks “oversold” and that it has great potential.
Shares of Ola Electric Mobility have been on a losing spree over the past few trading sessions, but saw a sharp rise of 4% during Thursday’s intraday trading session.
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Ola Electric shares were up 4.69 to Rs 116 on the Bombay Stock Exchange (BSE) at 1 pm.
While the stock is nowhere close to its 52-week high of Rs 157.33, analysts remain bullish on the stock.
Brokerage firm Anand Rathi highlighted how the stock rallied sharply after listing at Rs 76, which was its original IPO price.
However, the brokerage also noted that the stock has corrected sharply since the rally.
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“Although, we don’t have much price history for the stock, but for short term, the stock looks oversold,” Anand Rathi analysts said, addig that “even the fundaments suggest that the stock has great potential”.
“Thus, we advise traders to go long in the stock between 107.5 – 112.5 with a stop loss of 95 for the upside target of 140 in the coming months,” the brokerage firm said.
Several other brokerages had shared optimistic views on the stock after it took Dalal Street by surprise with its stellar rally. However, analysts had also expressed caution, given that the stock had witnessed a period of volatile trade.
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Therefore, Anand Rathi’s latest assessment suggests that the stock is stabilising, providing a potentially favourable opportunity for long-term investments.
Earlier, global brokerage firm HSBC initiated coverage on Ola Electric after the company’s Q1 results. The global brokerage firm anticipated that the cost of manufacturing electric vehicles (EVs) could drop significantly by FY27/28, while the cost of internal combustion engine (ICE) scooters is likely to rise due to stricter emission standards.
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The brokerage also views Ola Electric as a promising opportunity, supported by ongoing regulatory backing, potential cost reductions, and an attractive risk-reward profile for the battery business.
