Retail investors often gravitate towards initial public offerings (IPOs) in the hope of quick listing gains. However, such expectations are far from assured. IPO performance depends on multiple factors, including issue pricing, market sentiment, and post-listing demand.
In several cases, richly valued IPOs and a weak secondary-market sentiment have led to stocks debuting at a discount, highlighting the risky nature of the IPO market, as is the case with equity investing.
Among the 107 IPOs that have listed in the market this year, 35 are trading with cuts, and another 18 have seen 5% or lower gains on the debut day.
Burned on Day One
Glottis, Om Freight Forwarders, BMW Ventures, Arisinfra Solutions, and Jaro Institute have emerged as the companies with the worst listing-day action.
Glottis: It not only remains the IPO with the worst performance on listing day, but also the bleakest one of the year. Its shares had listed at a 35% discount to its IPO price of 129 and now trade 52% below this level. Its IPO had also seen a tepid response, garnering just 2.12 times bids for its initial share sale.
Om Freight Forwarders: This stock had initially listed at a 40% discount to its IPO price on the NSE. However, by the end of the day, Om Freight Forwarders shares managed to recoup some losses, ending the session at 89.84, down 33.45% from its IPO price of 135. The stock has recovered some ground since but IPO investors are currently sitting on losses of 28%.
BMW Ventures: The shares of BMW Ventures had listed at a 21% discount to the IPO price of 99 apiece. The stock had settled the listing day with steeper losses of 29% at 70.39 apiece. Currently, it remains one of the worst IPO performers this year, with a 41% fall from the offer price.
Arisinfra Solutions: The stock had listed at an 8% discount at 205 initially, but extended fall to settle 21.45% down on the listing day, denting IPO investors’ portfolios. Currently, the stock is down 39% from its IPO price and remains among the top 10 worst-performing IPOs of 2025.
Jaro Institute of Technology Management & Research: Shares of Jaro Institute of Technology Management & Research had listed at par with the IPO price of 890, but selling pressure soon gripped the scrip, and it ended the day deep in the red, with cuts of 16%. Now trading nearly 39% below its offer price.
Disclaimer: This story is for educational purposes only. We advise investors to consult with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.
