Ola Electric share price under pressure as Ather Energy IPO opens; EV stock down 70% from record high

Ola Electric share price declined nearly 3% on Monday as Ather Energy IPO opened for public subscription. Ola Electric shares declined as much as 2.94% to ₹48.40 apiece on the BSE.

Ola Electric Mobility shares came under selling pressure on April 28 following the launch of the initial public offering (IPO) of rival Ather Energy. Both Ola Electric and Ather Energy are pure-play electric two-wheeler manufacturers, competing aggressively with each other as well as with legacy automobile companies in the electric vehicle (EV) segment.

These new-age EV companies continue to report significant losses while also losing market share. Ola Electric reported a net loss of ₹1,406 crore during the nine months of FY25, compared to Ather Energy’s net loss of ₹578 crore over the same period. For the full financial year FY24, Ola Electric posted a net loss of ₹1,584 crore, while Ather Energy reported a loss of ₹1,060 crore.

In terms of volumes, Ola Electric sold a total of 3,44,005 units in FY25, achieving a market share of 30%, compared to 3,29,618 units sold in FY24. Meanwhile, Ather Energy reported sales of 1,07,983 units during the April-December period of FY25, versus 1,09,577 units sold in FY24.

Ola Electric’s share price has been on a downward trajectory and is currently trading significantly below both its issue price and listing price. The stock was listed flat on August 9, 2024, debuting at ₹76 apiece on the NSE, in line with its issue price. On the BSE, it was listed marginally lower at ₹75.99 apiece.

The shares touched a record high of ₹157.53 apiece on August 20, 2024, before declining to a low of ₹45.55 apiece on April 7, 2025.

Ola Electric shares have fallen 7% over the past month and 24% over the past three months. On a year-to-date (YTD) basis, the stock has declined 43%. Over the past six months, shares have fallen 27%, and the stock currently trades over 36% below its IPO price.

On the technical front, Ola Electric shares have been forming a bearish flat base for the past 33 sessions, with key support at ₹45, said Anshul Jain, Head of Research at Lakshmishree Investments.

“A breakdown below ₹45 could trigger a sharp fall towards ₹24. Rising competition from Ather Energy and TVS Motor Company, which are gaining market share in the two-wheeler EV segment, adds to the negative bias,” Jain said.

Jain, who has maintained a ‘Sell’ rating on Ola Electric shares since they were trading at the ₹110 level, reaffirmed his bearish stance.

“A breach below ₹45 confirms weakness, targeting ₹24 initially,” Jain said.

Meanwhile, Ola Electric on April 25 clarified to stock exchanges regarding the reports of Maharashtra showroom closures, saying that it was “not aware” of any such notice from authorities.

“We wish to submit that we are not aware of any such negotiations/events regarding a notice from the authorities ordering immediate closure of over a 100 showrooms in Maharashtra. Additionally, we have already informed the exchange, via our intimation dated March 21, 2025, regarding the receipt of notices in four states pertaining to trade certificates for certain stores located in those states,” Ola Electric said in a stock exchange filing.

Ather Energy IPO

Ather Energy IPO opened for public subscription on April 28, and will close on April 30. The company plans to raise ₹2,981.06 crore from the book-built issue which is a combination of fresh issue of 8.18 crore equity shares worth ₹2,626.30 crore and an offer-for-sale (OFS) component of 1.11 crore equity shares aggregating to ₹354.76 crore.

Ather Energy IPO price band is set at ₹304 to ₹321 per share. At the upper band of ₹321, the issue is valued at a EV/sales ratio of 8x, based on a 9MFY25 sales of ₹1,578.9 crore. 

At 11:25 AM, Ola Electric shares were trading 0.72% lower at ₹49.51 apiece on the BSE.

Read Ather Energy IPO Live Updates here

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