Weekly performance of new-age technology stocks: Delhivery & EaseMyTrip win big

• ByStartupStory     |    July 25, 2022

The Indian stock market gained ground this week, thanks to a solid global trend as well as better-than-expected earnings from numerous corporations in Q1 of FY23. The benchmark indexes NSE Nifty50 & BSE Sensex climbed on all five days, finishing the week 4.2 percent and 4.3 percent higher, respectively, at 16,719.45 and 56,072.23. In comparison to Thursday’s closing, the Nifty finished 0.69 percentage points higher on Friday (July 22), whereas the Sensex finished 0.70 percent higher

Compared to the past week, the 11 new-age internet businesses launched in India after 2019 had improved weekly performance, with the majority of equities closing the week higher. This week’s leading gainers included Delhivery, EaseMyTrip, Cartrade Tech, and Fino Payments. On the BSE, Delhivery shares rose as much as 10% to close Friday’s session at INR 667.9. It was accompanied by EaseMyTrip parent Easy Trip Planners, which gained more than 7% and closed the week at INR 404.05 on the BSE.

Paytm parent One 97 Comms closed Friday’s trading at INR 743.10, up more than 4.8 percent from the previous week. However, Zomato stocks fell more than 1% this week, while PB Fintech & Nazara Technologies also fell somewhat. All 11 latest tech stocks had a total market worth of roughly $33.69 billion at the end of the week, up from $32.48 billion the previous week.

In the last week, Delhivery’s market capitalization surpassed INR 50,000 Cr, making it one of the top 100 firms in terms of market capitalization. It has entered the ranks of Indian conglomerates such as Mahindra & Mahindra, Adani Enterprises, and Godrej Consumer Products, among others. Delhivery, the newest technology firm to launch on the Indian stock markets, has also outperformed One 97 Communications in terms of market capitalization. However, it gave up some of its gains on Friday, closing 4.6 percent lower than the previous day’s finish at INR 667.9, with a total market capitalization of INR 48,389.57 Cr.

EaseMyTrip, established in 2008 by Nishant Pitti, Rikant Pitti, and Prashant Pitti, had a successful IPO in May of last year. It was listed for INR 212.25 on the NSE, a gain of 13.5 percent over the issue price, plus INR 206 on the BSE, a premium of more than 10%. The initial pricing of EaseMyTrip was INR 187. Shares have already risen more than 90% from their initial offering price. According to Rahul Dani, research analyst for Monarch Networth Capital, the growing share price reflects the buoyancy in the travel industry, since travel figures are now looking fairly positive. The online travel aggregators (OTAs) are projected to be among the first to gain from the positive travel industry trends.

Shares of PB Fintech, the parent organization of insurtech startup Policybazaar, reached a new low this week, closing Friday’s session on the BSE at INR 520, down 0.8 percent week on week. Policybazaar’s stock dropped 7% last week, closing at INR 524.30 on Friday (July 15). Several causes, including weak fundamentals, uncertainty in the insurance business caused by new laws from the Insurance Regulatory and Development Authority of India (IRDAI), and other technical reasons, might be to blame for the drop in share prices.

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