PhysicsWallah shares have witnessed a sharp decline falling twenty one percent from their record high merely days after a spectacular debut on the stock exchanges.This significant correction has resulted in the erosion of approximately ten thousand crore rupees from investor wealth within a span of just five days. The edtech company which listed on November 18 had a robust start with its stock soaring to a peak of 162 rupees against an issue price of 109 rupees but the initial euphoria appears to be settling down as profit booking takes center stage. On Monday the stock closed at around 129 rupees on the BSE marking a continued decline and bringing the share value significantly lower than its listing day gains although it still trades above its IPO price.
Market experts attribute this volatility to a correction in valuation after the massive hype surrounding the listing with analysts noting that while the company's long term growth story remains intact due to its hybrid learning model the current market sentiment is driving a sell off. Financial analysts highlighted that while PhysicsWallah continues to expand its offline centers and revenue the quarterly earnings remain volatile which contributes to the stock's fluctuations. Financial data reveals that the company posted strong revenue growth in FY25 while significantly reducing its losses to 243 crore rupees yet the competitive landscape and regulatory challenges in the education sector continue to be key risk factors for investors. For those holding the stock experts advise maintaining a cautious approach and watching for stability while new entrants are suggested to wait for the volatility to subside before making aggressive bets.
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