Most New-Age Tech Stocks End Friday’s Session In The Red Amid Market Turmoil

SUMMARY

While EaseMyTrip fell over 4%, shares of Zomato declined 1.8%. Shares of Nykaa also continued their downward trend, falling 2.4%

CarTrade Technologies, DroneAcharya, Tracxn Technologies, and Delhivery were among the new-age tech stocks which ended in the green

The overall Indian equity market saw correction ahead of the Union Budget next week, with Nifty50 and Sensex falling 1.6% and 1.4%, respectively

A majority of the new-age tech stocks slumped on Friday (January 27) as the overall Indian equity market saw a sharp correction ahead of the Union Budget next week.

Shares of EaseMyTrip continued their slump and ended today’s session at INR 49.1 on the BSE, down almost 4%. Earlier this week, the online travel aggregator announced acquisition of a 55% stake in hotel booking marketplace cheQin.

Meanwhile, after touching an almost six-month low this week, foodtech startup Zomato ended today’s session 1.8% lower at INR 46.9 on the BSE.

Shares of Nykaa also continued their downward journey, ending Friday’s session down 2.4% at INR 126. The stock failed to hold on to the positive market sentiment it witnessed immediately after the appointment of P Ganesh as the chief financial officer.

Despite reporting positive results for Q3 FY23 earlier this week, gaming startup Nazara Technologies failed to hold on to positive market sentiment amid the overall slump. Its shares ended Friday’s session 2.2% lower at INR 592.6 on the BSE.

However, CarTrade Technologies, which also reported strong quarterly results, ended the last session of the week marginally higher at INR 482.6. DroneAcharya, Tracxn Technologies, and Delhivery were among the few new-age tech stocks which gained on Friday.

“The fall in BSE Smallcap and the BSE Midcap indices saw sharper correction vis-à-vis key benchmark indices like Sensex 30 and Nifty 50,” said Shrikant Chouhan, head of equity research (retail) at Kotak Securities.

Among the benchmark indices, Nifty50 ended 1.6% lower at 17,604.35, while Sensex fell 1.4% to 59,330.90 on Friday.

Many market analysts are of the opinion that the Q3 earnings have largely failed to enthuse the markets.

Meanwhile, US-based investment research firm and short-seller Hindenburg’s allegations of stock manipulation against Adani Group continued to adversely impact the Indian conglomerate’s stocks on Friday.