Goldman Sachs downgrade pushes Ola Electric shares down 5%
Ola Electric's stock slid 5% to ₹30.48 on Friday after Goldman Sachs downgraded it from Neutral to Sell and cut its target price to ₹23, hinting at more rough days ahead.
The downgrade comes as Ola faces ongoing losses and struggles to hold onto its market share, with revenue estimates for FY27-FY29 also getting trimmed by up to 10%.
Ola Electric rights issue priced ₹27
To tackle these challenges, Ola Electric launched a ₹1,000 crore rights issue with shares priced at ₹27, lower than current market value, and the offer runs until October 30.
This follows a big fundraise in June but, despite these moves, Q1 FY27 revenue dropped 45% year-on-year while net losses narrowed to ₹336 crore.
Meanwhile, its electric scooter sales in September were 12,894 electric two-wheelers, but overall market share slipped from August levels, showing the road ahead is still bumpy.