OnEMI Technology Solutions Shares Surge 11% on Strong Market Debut
Kissht parent OnEMI Tech shares soar 11% after strong D-Street debut. Should you buy, sell, or hold?
The Economic TimesImage: The Economic Times
OnEMI Technology Solutions, the parent company of Kissht, saw its shares rise by 11% on its debut, reaching an intraday high of ₹212.2 on the Bombay Stock Exchange (BSE). The company's IPO was oversubscribed 9.96 times, indicating strong investor interest. Analysts recommend a cautious approach with a stop-loss strategy.
- 01OnEMI Technology Solutions shares jumped 11% on debut, reaching ₹212.2.
- 02The IPO was oversubscribed 9.96 times, with strong demand from institutional investors.
- 03Analysts recommend maintaining a stop-loss at ₹178 to manage risks.
- 04The company reported significant financial growth with a 140.9% CAGR in profit after tax from FY23 to FY25.
- 05OnEMI has a customer base of 5.3 crore, indicating strong market potential.
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OnEMI Technology Solutions, the parent company of Kissht, experienced a robust debut on the Bombay Stock Exchange (BSE), with shares soaring 11% to reach an intraday high of ₹212.2. The stock opened at ₹191, an 11% premium over its IPO price of ₹171. The IPO, which raised ₹926 crore, was met with enthusiastic demand, being oversubscribed 9.96 times overall. Institutional investors showed the strongest interest, with the Qualified Institutional Buyer (QIB) portion subscribed 25.97 times. Analysts suggest that while the stock may be volatile post-listing, it remains a strong player in the digital lending space, with a focus on maintaining asset quality and utilizing advanced risk management practices. The company has reported impressive financial growth, with net interest income (NII), profit before provisions and taxes (PPOP), and profit after tax (PAT) growing at 15.8%, 29.6%, and 140.9% CAGR, respectively, from FY23 to FY25. With a customer base of 5.3 crore, OnEMI is well-positioned to capitalize on India's expanding credit market.
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The strong market debut of OnEMI Technology Solutions may encourage further investment in the digital lending sector, potentially increasing competition and innovation in financial services.
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