New Delhi: Shares of recently-listed One97 Communications-owned Paytm slumped over 10 per cent during the intra-day trade on Wednesday as the mandatory one-month lock-in period for anchor investors ended.
Anchor investors are those who buy shares before the issue opens for other investors and cannot sell them until 30 days after the listing.
Paring some of its intra-day losses, the fintech company’s shares closed at Rs 1,381, down 7.6 per cent from the previous close.
“As the stock is highly valued at these levels, I believe that only long-term players should keep a target of Rs 2,400 in next two years,” GCL Securities’ Vice Chairman Ravi Singhal said.
In comparison with some other newly-listed firms, Paytm has underperformed.
“Paytm share price, taking cues from the negative sentiments of the benchmark indices, is expected to touch the levels of Rs 1,100 in next trading sessions. Existing investors may hold their positions with a stop loss of Rs 1,150. Fresh buy should be avoided at current juncture,” Share India Vice President & Head of Research, Ravi Singh said.
Besides, FSN E-Commerce Ventures-owned Nykaa is another firm which didn’t witness a healthy return barring its listing gains.
On November 10, Nykaa listed at Rs 2,001, as against the offer price of Rs 1,125. After a stellar debut, it struggled to keep up with the momentum.
Since listing, its share prices have fallen around 5 per cent.
The shares of Nykaa fell sharply last week after the ending of the mandatory lock-in period for the anchor investors.
The e-commerce company deals in beauty and wellness products.
IANS