Mukka Proteins share price dips after listing below market expectations. Buy, sell or hold?

Stock market today: Mukka Proteins share price had a disappointing debut on Dalal Street during Thursday deals. Mukka Proteins share price today listed on BSE at ₹44 apiece whereas, on the NSE, it opened at ₹40 per share level, which is much below the expected listing range of ₹60 to ₹66 per equity share. However, more salt was added to the wounds of share allottees as Mukkar Proteins shares witnessed sharp selling post-listing. Within a few minutes of share listing, Mukka Proteins shares made an intraday low of ₹38.24 apiece while on the NSE, it made an intraday low of ₹38.25 apiece.

According to stock market experts, Mukka Proteins share price listed on the Indian bourses is below market estimates. The market was estimating that an allottee's money would be doubled on the listing date. However, to their surprise, it listed at around 40 percent premium. They said that the long-term should book profit and exit whereas short-term investors who invested for listing gain only, can hold the scrip maintaining a stop loss at ₹36 apiece and exit on the rise.

Also Read: IIFL Finance stock recovers ground with 10% jump after significant 2-day slump

Mukka Proteins share price outlook

Speaking on the outlook for Mukka Proteins shares, Arun Kejriwal, Founder of Kejriwal Research and Investment Services said, "Mukka Proteins share listing is below market estimates. The market was estimating that an allottees' money would get doubled on the listing date, but it seems difficult now as the stock has listed at around a 40 percent premium. The stock is listed in the trade-to-trade category, which means trading will not be possible in this stock."

Also Read: Ashneer Grover, wife barred from travelling to UK

Advising long-term investors to book profit, Dhruv Mudaraddi, Research Analyst at Stoxbox said, "We believe that high entry barriers, consistent financial performance, and innovative products have helped the company successfully grow its business. As we advance, Mukka Proteins Ltd. presents a persuasive investment opportunity in the fish protein industry, given its strong market position, diversified product portfolio, and global presence. However, at the current juncture, we advise investors to book profits upon listing and subsequently consider investing in the company after evaluating its quarterly performance in the near term."

Expecting bounceback once the stock settles down, Arun Kejriwal said, "As the stock has been listed in the trade-to-trade category, there can be sharp bounceback once the selling gets over. So, those who have applied for the stock for listing gain only can hold the scrip maintaining the stop-loss at ₹36 and exit on the bounceback."

Disclaimer: The views and recommendations above are those of individual analysts, experts, and broking companies, not of Mint. We advise investors to check with certified experts before making any investment decisions.