After falling 10.4% during the intraday trading, ixigo shares ended Thursday’s session 9.4% lower at INR 167.75 on the BSE
After getting listed at a 45.16% premium on the BSE earlier this week, ixigo rallied 37% from its listing price in the first two trading sessions
Founded in 2007 by Aloke Bajpai and Rajnish Kumar, ixigo offers travel services like flights, trains, bus tickets, and hotel bookings, and holiday packages
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Reversing its two-day winning streak, shares of newly-listed online travel aggregator (OTA) ixigo slumped as much as 10.4% to INR 165.98 during the intraday trading on the BSE on Thursday (June 20).
It ended the day’s trading almost 9.4% lower at INR 167.75, which was about 24.2% higher than its listing price of INR 135.
After getting listed at a 45.16% premium on the BSE earlier this week, shares of ixigo rallied 20% during the intraday trading on the listing day to touch the upper circuit. During Wednesday’s early trading hours, the stock once again touched the upper circuit at INR 194.38 on the BSE by jumping 20%.
The stock ended yesterday’s trading session 14.4% higher at INR 185.25 on the BSE.
Speaking on the stock, Riyank Arora, technical analyst at Mehta Equities, said yesterday that ixigo looked poised for an upside move towards INR 200 and INR 225 but the risk-reward ratio at current levels was unfavourable.
On NSE, the stock ended down 8.9% at INR 168.49 on Thursday.
Founded in 2007 by Aloke Bajpai and Rajnish Kumar, ixigo offers travel services like flights, trains, bus tickets, and hotel bookings, and holiday packages. Its listed competitors are EaseMyTrip, Yatra, and MakeMyTrip.
However, the startup has been able to mark its niche in the train ticketing segment and differentiate itself from the other OTAs with a major focus on the Tier 2 and beyond markets. These factors largely helped ixigo witness a massive demand for its IPO.
Its public issue was also oversubscribed 98.34X.
However, after jumping over 37% from its listing price in two sessions, investors are likely booking profits in the stock now.
Arora said on Wednesday, “Immediate support, as per the signals on lower time frames, is placed around INR 180. Below this, the next support is around INR 160. However, on a pullback towards INR 170, we can consider buying this stock with a strict stop loss of INR 160 for potential targets of INR 200 and INR 225.”
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