Ola Electric Stock Soars, Surpasses Tesla Valuation

20 Aug 2024 , 02:21 PM

Ola Electric’s shares soared by 8% on Tuesday, reaching a fresh high of ₹157.53 on the BSE, leaving investors puzzled. In just 7 trading sessions, the EV stock has risen 107% from its IPO issue price of ₹76 to a valuation that exceeds that of Elon Musk’s Wall Street-listed Tesla.

According to news reports, 2.3 million shares, or 0.5% equity, worth ₹352.9 crore changed hands on Tuesday at an average share price of ₹151 per.

Many long-term investors have pointed out that Ola, which had a market capitalisation of approximately ₹66,000 crore this morning, is now more costly than even Tesla. While Tesla trades at 6.8x current EV/sales, Ola trades at 7.8x.

In the June quarter, the company recorded a 32% YoY increase in revenue; nonetheless, the loss for the quarter increased to ₹347 crore from ₹267 crore in the same quarter the previous year.

Last week, with the introduction of the Roadster, Roadster X, and Roadster Pro, the business joined the electric motorcycle category and announced the integration of its cells into its vehicles beginning in Q1 FY26.

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