2021-11-21 08:25:06
My thoughts about the #PaytmIPO
@AmitBhawani - Most of the recent IPO's have been overpriced but since we have seen a surge of new investors in the market, they all think any IPO applied, would lead to listing gains and they have been looking at results too.
Just before #Paytm there was Nykaa and many other IPO's where small investors applied but mostly didn't get them because of oversubscriptions and with the same thought process just applied for #PaytmIPO ignoring the financials, IPO price, valuations.
The expectation is just simple - Listing Gains.
I saw investors cribbing about losing 20-25% on the first day itself & had exited because that led to a little loss and they didn't want to wait till the next few trading sessions.
As they say - Beauty lies in the eye of the beholder - applies to shares too!
Do not apply for any IPO's because most of them are way overpriced and yet are getting oversubscribed because of the Hype and the ease of applications where people are just applying from multiple accounts.
Only apply if you trust the business & have a long-term holding plan. Also, many small investors just invest because of the FOMO factor and think that even if there is not much listing gain, later within a few weeks they will make a little money & exit out. Since the total amount needed is just around 14K.
That's a bad decision IMO.
How much ever you crib later or tweet about the IPO, it's not going to make any impact. Follow the market trends, technical analysis, understand the charts & then decide to exit or hold.
If you have got some time, check #ZomatoIPO charts. Doubled its IPO Price within 3 months.
609 viewsedited 05:25
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