Facing a barrage of customer complaints amid poor after-sale service, Bhavish Aggarwal-run Ola Electric saw its stock plummet to a record low on Wednesday -- below Rs 80 apiece in the morning trade -- as market experts said the share may soon trade below its debut price of Rs 76.
At the end of the day, the stock closed marginally higher at Rs 81.76.
During the session, the share touched Rs 79.15 on the lower side and Rs 83 on the higher side.
The EV company's stock has fallen about 48 per cent from its highest level of Rs 157.40.
Ola Electric's shares were listed in August. After listing, a sharp rally was seen in the Ola Electric and the counter made an all-time high of Rs 157.40.
Jigar S Patel, Senior Manager- Technical Research Analyst, Anand Rathi Shares and Stock Brokers, said for Ola Electric, the support will be at Rs 76 and resistance at Rs 86. Market experts said that the strong support of Rs 86 has broken in Ola Electric and the next target is Rs 75 and the "trend in the counter continues to be negative".
The stock remains weak and selling is being seen at all levels.
Due to the weakness, investors should stay away from this stock and invest in stocks with strong fundamentals, said market analysts. The reason for the fall in the shares of Ola Electric is the decline in sales and service-related problems.
According to the government portal Vahan, Ola Electric sold 24,665 e-scooters in September. In August, this figure was 27,587. As per reports, Ola Electric's flagship S1 series EV scooter has become a nightmare for hundreds of customers who are consistently facing issues like malfunctioning hardware and glitching software and spare parts are hard to come by, resulting in inordinate delays. Market analysts say that the share is showing extreme volatility due to challenges the company faces as well as rising competition and service-related issues.
(With inputs from IANS)
