Shares of Ola Electric surged by 4.04% to ₹111.95 in early trading, following strong buy calls from BofA Securities and Goldman Sachs, with target prices of ₹145 and ₹160 per share, respectively.
Stock Price Details:
- Open: ₹112.95
- High: ₹113.00
- Low: ₹111.60
- Previous Close: ₹107.60
BofA Securities highlighted Ola’s dominant position in India’s electric two-wheeler market, with a 40% market share. They noted that Ola’s e-scooters are now priced lower than petrol scooters, a key milestone in the EV transition, and expect EV penetration to reach 25% by FY30 in the two-wheeler segment.
Goldman Sachs emphasized the company’s strong long-term growth potential, forecasting a 40% CAGR in revenue from FY24 to FY30. They also expect Ola to achieve a free cash flow breakeven by FY30, with EBITDA margins of 11.9% and ROIC of 27%. However, they pointed out that debates around in-house battery cell manufacturing and Ola’s direct-to-consumer sales model could drive volatility in the stock.
