White oil manufacturer Gandhar Oil Refinery (India) Ltd's shares entered the listed space on a strong note on Thursday. The stock debuted at Rs 295.4 apiece on BSE, a premium of Rs 126.4 or 74.8 per cent over the upper end of the price range of the company's IPO. 

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Gandhar Oil Refinery shares began their journey on NSE at Rs 298 apiece, a premium of Rs 129 or 76.3 per cent.    

The listing of Gandhar Oil Refinery shares was better than market wizard Anil Singhvi's expectations. 

EDITOR'S TAKE | Long-term investors should hold 

Zee Business Managing Editor Anil Singhvi, who had recommended subscribing to the Gandhar IPO for a good listing gain and for the long term, expected Gandhar Oil shares to debut in the secondary market at Rs 230-245, a premium of up to 45 per cent over the issue price.

He recommends long-term investors to hold the Gandhar stock and short-term investors to place a stop loss at Rs 220.

Ahead of the launch of the IPO, Singhvi pointed out the following key points about the white oil maker: 

Positive

  • A market leader with a strong promoter background
  • A stable financial track record
  • Attractive valuation

Negative

  • Negative operating cash flow in the first quarter of FY24
  • The working capital cycle is increasing continuously

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