Awfis, Nykaa uptrend to Unicommerce eSolutions Q1 results—How top new-age internet stocks performed this week

New-age internet stocks have lately generated a buzzing interest among D-Street investors, especially after significant volatility following their initial public offerings (IPOs). E-commerce and tech companies such as Zomato, Nykaa, Awfis, Digit Insurance, FirstCry, Paytm, and Policybazaar, among others, have witnessed a surge in their stock prices, with traders looking to either buy, sell, or hold for both near- and long-term periods.

D-Street experts say that the initial post-IPO market correction allowed for more accurate valuations, and increased institutional investment has further stabilized stock prices for the new-age tech companies. This combination of improved performance, strategic growth, and favourable market conditions has led to a positive outlook for these companies.

Also Read: Zomato, Nykaa, Paytm, CarTrade and more: Should you buy or sell new-age internet stocks? Experts weigh in with top picks

What are new-age internet companies?

New-age tech companies focus on innovative and high-growth areas. They often leverage modern technologies like artificial intelligence, machine learning, the Internet of Things (IoT), and blockchain to create unique products and services. The companies are characterized by sudden growth, high market valuations, and significant potential for disrupting traditional industries. 

India's top new-age tech firms operate in digital mapping, fintech, online marketplaces, food delivery services, logistics, gaming, and cloud computing. These firms include Awfis, Ola Electric, Digit Insurance, Mamaearth, Zomato, Nykaa, Paytm, FirctCry, Zaggle, RateGain, MapMyIndia, and Delhivery. In the last week, shares of Awfis and Nykaa surged the most among all new-age internet stocks.

Also Read: Multibagger alert: Awfis Space Solutions zooms 17% to hit all-time high, gains 120% from IPO price in over two months

Stock price trend

Shares of Awfis surged 25.1 per cent in the last five days, while Nykaa zoomed over 16 per cent. Shares of Zomato and Paytm shed 0.68 per cent and 1.67 per cent respectively this week, while Policybazzar dropped 0.47 per cent. Shares of Ola Electric dropped 4.93 per cent while Digit Insurance gained five per cent.

Over the past year, Zomato has led the new-age pack. Shares of the food delivery giant have surged nearly 189 per cent over the last 12 months, with a 109 per cent gain so far in 2024. Zomato’s momentum continued in August, climbing nearly 13 per cent and marking its third consecutive month of gains. 

New-age tech stocks in news 

Unicommerce eSolutions Q1 Results: Unicommerce eSolutions announced its April-June quarter results for fiscal 2024-25 (Q1FY25) on August 30, reporting a rise of nine per cent in revenue to ₹274 million from ₹251 million in the year-ago period.

The adjusted EBITDA increased by 23 per cent year-on-year (YoY) to ₹44.7 million in Q1FY25 from ₹36.3 million in Q1FY24. The net profit increased 31 per cent YoY to ₹35.1 million in Q1FY25 from ₹26.8 million the year-ago period. The company's revenues are linked to the volume of transactions.

‘’While the e-commerce industry’s long-term growth is robust, we are mindful of the recent slowdown due to macroeconomic challenges and shifts in consumer spending patterns. Despite this, we continue to acquire new clients across industry verticals, consistent with the overarching trend of increasing digital adoption by participants in the eCommerce ecosystem,'' said Kapil Makhija, Managing Director, Unicommerce eSolutions.

‘’We recently launched two new solutions, UniReco (automated reconciliation of payments and returns) and UniShip (improved logistics management with order tracking). These new solutions allow us to address new needs of our clients and will support our future growth,'' added Makhija.

Also Read: Paytm parent One97 Communications to conduct 24th AGM on September 12 via video conferencing

Zomato-Paytm deal: Zomato completed the acquisition of Paytm subsidiaries WEPL and OTPL for the entertainment ticketing business on August 28. The Deepinder Goyal-led food delivery giant had entered into definitive agreements to acquire Paytm's entertainment arms. 

According to Paytm, as many as 280 existing employees from the entertainment ticketing business will join Zomato. Paytm said the company wants to focus on the payments and financial services distribution segment.

During a transition period of up to 12 months, movie and event tickets will continue to be available on the Paytm app, as well as on the TicketNew and Insider platforms, ensuring a smooth and uninterrupted experience for users and merchant partners.

Awfis share price: The share price of Awfis Space Solutions has increased by more than 120 per cent from its IPO price of ₹383. On May 30, Awfis Space Solutions shares listed on the stock exchanges with an opening price of ₹435 per share on NSE, representing a 13.58 per cent increase from the issue price of ₹383. On BSE, the share price of Awfis Space Solutions opened at ₹432.25 per share, reflecting a 12.86 per cent rise from the issue price.