Ola Electric Mobility share price may fall from Rs 113 to Rs 100, keep an eye on September 12
Ola Electric Mobility Ltd’s share price has been a topic of interest for investors and market analysts alike. The stock is currently trading around ₹116.86 on both the NSE and BSE. This reflects a slight decline from its previous close, indicating some volatility in the market. In this article, we will explore the current performance of Ola Electric, its financial health, and what investors might anticipate for tomorrow’s trading session.
Main Points
On September 10, 2024, Ola Electric’s share price was reported at ₹116.86, with a day range between ₹110 and ₹118. The stock has shown a 52-week range of ₹76 to ₹158, highlighting significant fluctuations over the past year. The market capitalization stands at approximately ₹51,011 crore, indicating a robust presence in the electric vehicle sector.
Ola Electric has posted impressive revenue growth, with an annual increase of 510%. However, the company faces challenges, including a pre-tax margin of -56% and a return on equity (ROE) of -269%, which are concerning indicators of profitability and efficiency. Furthermore, the company’s high debt-to-equity ratio of 128% raises red flags for potential investors, suggesting that the company is heavily reliant on debt for financing its operations.
Despite these challenges, Ola Electric has made strides in the electric vehicle market. The company reported its highest-ever quarterly revenue of ₹1,718 crore in Q1 FY25, capturing a market share of 48.63% in the electric two-wheeler segment. This growth is a positive sign, but the company still needs to improve its profitability metrics.
From a technical standpoint, Ola Electric’s stock is currently trading below key moving averages, which could indicate a bearish trend. The stock is approximately 29% away from its crucial pivot point, and it is forming a base on its weekly chart. Resistance levels are set at ₹113.93, ₹117.07, and ₹120, while support levels are around ₹110 and ₹105. Investors should closely monitor these levels as they could provide insights into potential price movements in the coming days.
The overall sentiment surrounding Ola Electric’s stock appears mixed. While the company has shown significant revenue growth and holds a substantial market share, concerns about its profitability and high debt levels could weigh on investor confidence. Analysts suggest that the stock may experience fluctuations in the short term, with potential resistance at ₹117 and support at ₹110.
For tomorrow, September 12, 2024, investors are advised to watch for any significant market movements or news that could impact the stock price. If the stock manages to break through the resistance levels, it could signal a potential upward trend. Conversely, if it falls below the support levels, it may indicate further declines in the share price.
Disclaimer: The information given in this article is from investment experts and brokerage companies, they do not represent Local Haryana. Before taking any investment related decision, you must consult a certified expert.
