Ola Electric Share Price Spikes 13%, Rallies Over 45% In Two Weeks

Ola Electric Mobility Ltd. share price spiked over 13% on Monday. The stock has been rallying for nearly two weeks, gaining over 45% from August 18 to Sep. 1. The rally in the share price for Ola electric came after positive commentary from management about regaining market share and PLI nod for its top selling Gen 3 scooter portfolio.

Last week, the electric two-wheeler giant announced that it is eligible for benefits under the government's Production Linked Incentive (PLI) scheme for its top selling Gen 3 scooter portfolio. Prior to this, the company announced the launch of its new bike and its transition to Ebitda positive territory which likely sparked some optimism among investors

Another factor aiding the surge is Ola’s in-house battery manufacturing plans, which reduces reliance on rare earth metals. The introduction of faster charging has also positioned it favorably in a competitive EV landscape.

The scrip rose as much as 13.23% to Rs 61.20 apiece. It pared gains to trade 11.30% higher at Rs 60.16 apiece, as of 11:52 a.m. This compares to a 0.40% advance in the NSE Nifty 50 Index.

It has fallen 47.66% in the last 12 months. Total traded volume so far in the day stood at 4.8 times its 30-day average. The relative strength index was at 75.

Out of seven analysts tracking the company, two maintain a 'buy' rating, two recommend a 'hold,' and three suggest 'sell,' according to Bloomberg data. The average 12-month consensus price target implies an upside of 22.7%