Zomato IPO out now: Should you invest or not? Experts answer; check list of other IPOs opening in India
New Delhi | Jagran Business Desk: Indian stock market continues to find its ‘all time high’ benchmarks amid COVID-19 pandemic. With that, various companies are releasing their Initial Public Offerings (IPOs). According to an estimate, companies going for an IPO route are expecting to raise close and above Rs 80,000 Crore. A total of 30 companies, such as Zomato, Paytm, Flipkart, Nykaa, Policybazar, Mobikwik and Ixigo have already filed in their IPO papers to raise Rs 55,000 Crore.
What is an IPO?
An Initial Public Offering is the stock launch of a company in which shares of a company are sold to institutional investors as well as the retail investors.
Indian IPO boom: What do the experts say?
It is not necessary that all the buying from IPOs result in good profits. According to the market expert Bharat Shah, the next six months are crucial for Indian investors. In these months, two types of IPOs: IPOs of Hope and IPOs of Performance.
What are IPOs of Hope?
According to market expert Bharat Shah, the highly disruptive but not much profitable companies, such as Zomato, Paytm and Flipkart, constitute under the category of IPOs of Hope.
What are IPOs of Performance?
Bharat Shah adds that less disruptive but profitable companies such as Nykaa, Policybazar, Mobikwik and Ixigo form the IPOs of performance.
What financial management firms are saying about Zomato IPO?
As far as the IPO of Zomato is concerned, Motilal Oswal and KR Choksey has adviced the purchase of Zomato’s shares. They say that company will be listed on a credible premium. Choice Broking, however, has adviced for conscious investment.
Upcoming IPOs in the near future
Digital payment-major Paytm, Mobikwik will take the IPO route in the coming days to raise Rs 16,650 Crore and Rs 1,900 Crore respectively. Jana small finance bank, too will take the IPO route to sell 92,53,659 shares in order to raise Rs 700 Crore.
Posted By: Mukul Sharma