Nexus Select Trust share price jumps after positive listing. Buy, hold or exit?

Nexus Select Trust IPO listed at BSE and NSE today at a decent premium in a special pre-open session. On BSE, Nexus Select Trust share price opened at ₹102.27 apiece level but soon attracted bulls' attraction and went on to hit intraday high of ₹104.90 per share levels. On NSE, Nexus Select Trust share price made its debut at ₹103 per share levels, delivering 3 per cent listing premium to the lucky allottees.

According to stock market experts, Nexus Select Trust shares should be taken as portfolio stock by allottees as it would continue to give steady returns through payouts from its capital reserves. Experts recommended lucky allottees to hold Nexus Select Trust shares for near term target of ₹115 maintaining stop loss at ₹97 per share levels.

Speaking on Nexus Select Trust share price outlook, Vaibhav Kaushik, Research Analyst at GCL Broking said, "Nexus Select Trust should be taken as a portfolio stock for steady payouts. The company offered its public issue at around 22 per cent discount on its NAV. Apart from this, company has managed to reduce its debt which is expected to enhance its payout ratio from 8.30 per cent to 9 per cent. So, one should hold the stock for near term target of ₹115 per equity share maintaining stop loss below ₹100."

Advising Nexus Select Trust shareholders to hold the stock for long term, Manoj Dalmia, Founder & Director at Proficient Equities said, "Investors can consider holding it long-term as an alternative to investing in real estate with a small capital, which usually requires huge capital. Short-term investors may book profit considering small marginal gains and a volatile market condition. Nexus consists of 17 Grade A urban consumption centres (area of 9.2 ms), 2 complementary hotel assets and 3 office assets (1.3 msf) as of Dec 2022."

Echoing with Manoj Dalmia's views; Anubhuti Mishra, Equity Research Analyst at Swastika Investmart said, "Nexus Select Trust IPO got listed on the exchange today, May 19, 2023, It is also the first publicly listed consumption center REIT in India. The company's issue price at the upper band was Rs. 100, and it got a decent listing with a profit of around Rs. 3 (3%). Nexus is the owner of India’s leading consumption center platforms. This IPO came at a fair valuation and attracted a great response from investors, with a 5.45-times subscription rate. After this positive listing, we recommend investors hold it for the long term with a stop loss at 97 with a view to earning steady returns and appreciation on residual holdings.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.