Ola Electric shares dip 12% in 2 days even as Goldman Sachs lifts price target to ₹72

Shares of Ola Electric Mobility Ltd. declined as much as 6% on Friday, September 5, extending their two-day decline to 12%. The stock has slipped in three of the last five trading sessions.In the six sessions between August 22 and September 3, Ola Electric shares had surged 46% on strong volumes.

The latest decline came after SVF II Ostrich (DE) LLC, a SoftBank entity, offloaded a portion of its stake in the company.

In a disclosure, the shareholder said it had sold 94.9 million equity shares, or 2.15% of Ola Electric, between July 15 and September 2. Following this transaction, SoftBank’s stake has come down to 15.68% from 17.83%.Meanwhile, global brokerage firm Goldman Sachs maintained its ‘Buy’ rating on Ola Electric and raised its price target to ₹72.

On the business front, the company recently revised its investment plans in battery cell manufacturing. Ola Electric will now pursue 5 GWh of capacity, compared to its earlier target of 20 GWh by 2030.

The company has also obtained Production-Linked Incentive (PLI) scheme certification for its Gen 3 vehicle models and announced plans to launch a new range of performance scooters early next year.

Ola Electric Mobility shares are now trading 6.08% lower at ₹60.58. The stock is also trading below its IPO price of ₹76 per share.