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Orient Cables shares tumble 10% the day after a 65% IPO premium
The cable maker opened at ₹380 versus ₹403.30 previous close, hitting its lower circuit at ₹363 and leaving the stock still up 33% versus its IPO price of ₹272.
Orient Cables saw its shares drop as much as 10% in morning trading on Tuesday, October 6, just a day after the stock listed at a 65% premium.
The shares opened at ₹380 compared with the prior close of ₹403.30, then fell to a fresh all time low and a lower circuit level of ₹363, according to LiveMint Markets.
Analysts attributed the sharp decline largely to profit booking, with some investors selling to take gains from the IPO listing.
Looking ahead, experts said the stock reaction in coming months will likely depend on quarterly revenue growth, profitability, order execution, and operating cash flow.