Tata Technologies share price slumps 8% after blockbuster listing due to profit booking | Mint
Active Stocks
Wed Feb 28 2024 15:59:21
  1. Tata Motors share price
  2. 957.75 -0.52%
  1. Tata Steel share price
  2. 140.75 -2.36%
  1. HDFC Bank share price
  2. 1,408.15 -0.87%
  1. Power Grid Corporation Of India share price
  2. 279.55 -4.43%
  1. ITC share price
  2. 408.60 -0.62%
Business News/ Markets / Stock Markets/  Tata Technologies share price slumps 8% after blockbuster listing due to profit booking
BackBack

Tata Technologies share price slumps 8% after blockbuster listing due to profit booking

Tata Technologies share price slumps nearly 8% after a blockbuster listing, failing to sustain momentum in the bull market due to profit booking.

Tata Tech share price opened at ₹1,339.60 apiece on BSE. Tata Tech share price today touched intraday high of ₹1,348, and low of ₹1,212.80. Premium
Tata Tech share price opened at 1,339.60 apiece on BSE. Tata Tech share price today touched intraday high of 1,348, and low of 1,212.80.

Tata Technologies share price, after a blockbuster listing yesterday, failed to sustain the momentum in the bull market in Friday's session on the back of profit booking. Tata Technologies share price today slumped nearly 8%. Tata Tech share price opened at 1,339.60 apiece on BSE. Tata Tech share price today touched intraday high of 1,348, and low of 1,212.80. 

On Thursday, November 30, Tata Tech share price ended at 1,313 on NSE, a 162.6% premium to the IPO price of 500, and at 1,314.25 on BSE, a 162.85% premium. It listed at 1,200 on the NSE and BSE, a premium of 140% to the IPO price of 500, and hit an intra-day high of 1,400 (180% premium).

Also Read: In total 10 mainboard IPOs in November, 8 lists with premium; Tata Tech IPO tops the list; check details

"Exciting news! Mint is now on WhatsApp Channels 🚀 Subscribe today by clicking the link and stay updated with the latest financial insights!" Click here!

Experts in the stock market claim that within an hour of the Tata Technologies share price going public on the NSE on Thursday, there were about 3.3 crore trades. They advised that while a cautious investor could wait for further gains, allottees who invested in Tata Technologies' initial public offering (IPO) can book profit and exit. However, this stock is perfect to hold in a portfolio for long-term investors.

On the other hand, other listed companies in the Tata Group, such as Tata Elxsi, have gained 34.46% in 2023 thus far, and TCS has gained 11.34% in 2023. According to technical analysts, there were no major traction in both the stocks. Yesterday, both the stocks were down, but today they are showing some strength. Overall bias is positive in the counter. 

Of the ten mainboard IPOs that were listed in November, eight debuted with premiums. With a 140% gain, the Tata Technologies IPO topped the list.

Also Read: Tata Technologies share price makes blockbuster debut, stock lists at 140% premium at 1,200 on NSE

Tata Tech IPO was subscribed 69.43 times on final day of bidding on November 24. The retail investors portion has been subscribed 16.50 times, NII portion is subscribed 62.11 times, and Qualified Institutional Buyers (QIB) portion is booked 203.41 times. Employee portion has been subscribed 3.70 times Portion reserved for the shareholder has been booked 29.19 times.

Tata Technologies IPO was entirely an offer for sale (OFS) of 6.09 crore equity shares by the promoter and investors. Promoter Tata Motors will offload 4.62 crore equity shares worth 2,313.75 crore in the OFS, while investors Alpha TC Holdings Pte Ltd will sell 97.17 lakh shares and Tata Capital Growth Fund I will offload 48.58 lakh shares in the Tata Technologies IPO.

Also Read: Nifty 50 hits all-time high led by banks, metals, auto stocks; small, midcaps support rally

Tata Technologies is a subsidiary of automobile major Tata Motors and is a pure-play manufacturing-focused Engineering Research & Development (ER&D) company, primarily focused on the automotive industry.

The company's listed industry peers are KPIT Technologies Ltd (with a P/E of 80.31), L&T Technology Services Ltd (with a P/E of 37.47), and Tata Elxsi Ltd (with a P/E of 61.55), as per Red Herring Prospectus (RHP).

Also Read: Tata Technologies Share Price Live Updates: Stock ends at 1,327, over 165% premium to IPO price

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

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Check all the latest action on Budget 2024 here. Download The Mint News App to get Daily Market Updates.
More Less
Published: 01 Dec 2023, 12:58 PM IST
Next Story footLogo
Recommended For You
GENIE RECOMMENDS

Get the best recommendations on Stocks, Mutual Funds and more based on your Risk profile!

Let’s get started
Switch to the Mint app for fast and personalized news - Get App