Shares of electric two-wheeler manufacturing company Ola Electric have fallen heavily in the stock market in the last few days. The share price has fallen 78 percent from its peak. Both domestic and foreign investors have suffered huge losses due to this decline. Global investors include SoftBank-owned SVF II Ostrich (DE) LLC and MacRitchie Investments, which is linked to Temasek Holdings. Investors are now wondering whether to keep their shares or sell them.
Company’s performance on BSE
On the BSE, shares of the company were seen marginally higher at the close of trading on Tuesday, December 23. The shares closed at ₹34.76, a rise of 0.26 per cent or ₹0.09. The shares had opened the day at ₹34.60.
huge loss to investors
Ola Electric investors have suffered a major shock due to the huge fall in the share price. The company’s shares have fallen nearly 78 per cent from their all-time high, causing a total loss of around ₹7,956 crore in investors’ wealth. SoftBank has suffered a loss of 32 per cent so far, amounting to around ₹1,083 crore on its investments. Similarly, MacRitchie Investments has also suffered huge losses.
Advice for retail investors
According to a report in Navbharat Times, Kranti Bathini, Director-Equity Strategy, Wealth Mills Securities, has advised investors to adopt a wait-and-see strategy. He believes that this is not the right time to exit the stock after such huge losses. Bathini suggests that investors should wait for a few more quarters. He also suggests that investors who can tolerate higher risk may consider contrarian bets.
