Waaree & Deepak Builders IPO Stock Performance Analysis 10 Days Post-Listing

This report tracks the stock performance of recently listed IPOs, particularly observing their performance within ten days of listing and analyzing quarterly results alongside market sentiment. We delve into the impact of market trends, sectoral performance, and companyspecific developments on stock performance post-listing.

IPO Stock Performance Overview

In the last ten days, new IPOs like Deepak Builders & Engineers and Waaree Energies have shown varying performances influenced by market trends, investor sentiment, and sector specific factors. Both companies were recently listed, with differing demand and interest levels across investor categories.

Key Factors Impacting these Stocks include

• Subscription levels: Demand from QIBs, retail, and HNI categories.
• Listing day price movement: Influence of demand-supply dynamics.
• Sector sentiment: Construction and renewable energy trends.
• Company specific developments: Financials, expansion plans, and growth potential.

Individual Stock Analysis

1. Deepak Builders & Engineers

• Listing Date: October 28, 2024
• Initial Price: ₹203 (Upper price band)
• Current Price: ₹200 (Listed at a 1.5% discount)
• Q2 Results: Fresh Issue of ₹217.21 crore, Offer for Sale of ₹42.83 crore, total issue size ₹260.04 crore.

Market Reaction: Deepak Builders & Engineers listed on NSE and BSE at ₹200 per share, slightly below the upper price band, reflecting a moderate market reception post-listing. The IPO was subscribed 41.5 times, showing strong initial interest, but the stock listed at a slight discount, hinting at a conservative market approach toward the construction sector in the current market environment. Check Deepak Builders & Engineers India Share Price

Quarter Results: Funds raised are allocated towards working capital, debt repayment, and general corporate purposes. The company, specializing in construction and structural work, showcased increased revenue in FY24, highlighting a potential growth trajectory if execution aligns with industry demand.

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2. Waaree Energies

• Listing Date: October 28, 2024
• Initial Price: ₹1,503 (Upper price band)
• Current Price: ₹2,500 (Listed with a 66.3% premium)
• Q2 Results: Raised ₹4,321 crore with fresh equity issue and offer for sale. Achieved high demand from QIBs, subscribed 208.63 times.

Market Reaction: Waaree Energies experienced a substantial debut, with a listing price of ₹2,500 on the NSE (66.3% premium), underlining strong investor demand. However, the stock faced a 10% dip postlisting due to profit booking, stabilizing around ₹2,367 as the market balanced out. Check Live Waaree Energies Share Price NSE/BSE

Quarter Results: Waaree Energies plans to utilize the proceeds for capacity expansion in solar PV module manufacturing, a fastgrowing segment given India’s renewable energy push. The company recorded a 154.73% YoY increase in net profit, with total revenue up 69% YoY to ₹11,632 crore, showing solid financial health and growth potential.

Comparison and Trends

Analyzing the performance trends of Deepak Builders & Engineers and Waaree Energies reveals clear patterns:
Sector Impact: Waaree Energies, operating in renewable energy, received robust demand, while Deepak Builders in construction saw more tempered investor interest.

• Subscription Levels: Waaree Energies outperformed Deepak Builders in overall demand, with QIBs playing a significant role.
• Market Sentiment on Listing Day: Renewable energy’s favorable sentiment helped Waaree Energies list at a premium, while Deepak Builders’ listing at a discount indicates conservative sentiment in the construction sector.

Conclusion

For investors, these recent IPO performances offer insight into how sectoral dynamics and company positioning affect post-listing trends. Waaree Energies, benefiting from India’s renewable energy push, appears positioned for longterm growth. Meanwhile, Deepak Builders, despite a softer listing, may hold potential based on sectoral recovery and strategic financial allocations for operational growth.