The Bhavish Aggarwal-run Ola Electric's stock plummeted closed at INR 102.18 on Friday, as market analysts once again advised investors to wait for a more stable entry point.
Overall, the stock of the EV firm has nosedived net 35% from its all-time high of INR 157.40 on August 20.
Rajesh Sinha from financial services firm Bonanza told IANS that post its initial public offering (IPO), the stock of Ola Electric Mobility has shown volatility due to challenges the company faces as well as rising competition, concerns of a potential EV slowdown and service-related issues.
"Ola Electric has experienced a notable decline in market share - from 39% to 31% and a significant drop in sales, which fell by 34% in August compared to July," Sinha commented.
Despite these concerns, some foreign brokerages are optimistic about Ola Electric but the ground story paints a grim picture for the EV company.
"Ola electric is fastest growing when it comes to their scooters coming back to service stations for 2-3 months," wrote an aggrieved Ola customer on X social media platform.
Ola Electric's flagship S1 series EV scooter has become a nightmare for hundreds of customers who are consistently facing issues like malfunctioning hardware and glitching software and spare parts are hard to come by, resulting in inordinate delays.
Ola Electric is based on a direct-to-customer model. The company owns and operates all 500 plus experience centres and 430 service centres across the country.
On Friday, the company announced to double its company-owned service network to 1,000 centres by the end of year.
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