Groww, the parent company Billionbrains Garage Ventures, made a strong debut on the Indian stock exchanges today. The IPO listed at a premium, initially trading 12% above its issue price of ₹100 on the NSE, at ₹112, and 14% on the BSE, at ₹114. The ₹6,632-crore IPO witnessed robust investor demand, being oversubscribed 17 times during its subscription period from November 4 to November 7, 2025.
Listing Performance and GMP
The listing exceeded initial grey market premium (GMP) expectations. Prior to the listing, the GMP was around ₹5, suggesting a listing price of approximately ₹105. However, the stock debuted significantly higher, indicating strong investor confidence. While the GMP is an unofficial indicator and should not be the sole factor in investment decisions, it did reflect positive, though tempered, sentiment.
Market Response and Subscription Details
The IPO saw enthusiastic participation from various investor categories. Qualified institutional buyers (QIBs) subscribed 22.02 times their allotted quota, while non-institutional investors (NIIs) subscribed 14.20 times. The retail portion was subscribed 9.43 times. This widespread interest underscores the market's positive view of Groww's business model and growth potential.
Expert Opinions and Recommendations
Analysts have offered varied perspectives on whether investors should buy, sell, or hold Groww shares. Prashanth Tapse, Senior VP Research at Mehta Equities, suggests that investors who were allotted shares should hold them for the medium to long term. He believes that Groww represents a strong long-term structural story, benefiting from India's increasing participation in financial markets. Tapse also suggests that new investors could consider entering the stock post-listing, especially during any dips in valuation, provided the business momentum continues.
Angel One assigned a "Neutral" rating for long-term investors, noting that at the upper price band, the company's valuation appeared steep compared to its peers.
Raj Gaikar, Research Analyst at Samco Securities, advised investors who received allotments to hold the stock for at least 2-3 years, anticipating further upside potential given Groww's profitability and revenue growth.
Company Overview and Financials
Groww is a technology-driven platform focused on providing investment opportunities to first-time retail investors. As of June 2025, it was the largest and fastest-growing broking platform in India based on active users on the NSE, with 12.6 million active users. The number of active users has grown at a CAGR of 53% between FY23 and Q1 FY26.
The company intends to use the IPO proceeds for purposes including cloud infrastructure, marketing, investments in subsidiaries (NBFC/MTF), and inorganic growth.
In FY25, Groww's total income increased to ₹4,061.65 crore from ₹2,795.99 crore in FY24. The company's profit after tax (PAT) rose sharply to ₹1,824.37 crore in FY25, compared to a loss of ₹805.45 crore in FY24.
Valuation and Risks
At the upper price band, Groww's implied P/E ratio stands at around 30x on a post-issue basis. While this is at a premium compared to some peers, analysts cite Groww's growth potential and market position as justification. Risks include reliance on broking revenues, sensitivity to market sentiment and trading volumes, and potential regulatory changes.
Final Thoughts
Groww's IPO marks a significant milestone in India's fintech landscape. The company's strong debut reflects investor confidence in its business model and future prospects. For investors considering Groww, a long-term perspective, understanding of the company's financials, and awareness of potential risks are crucial.
