Bhavish Aggarwal, the co-founder and promoter of Ola Electric, has partially sold his stake in the company amidst a significant slump in the stock price. The move has triggered concerns among analysts, who point to weak fundamentals as a cause for alarm.
On Tuesday, December 16, 2025, Aggarwal sold 260 million shares, representing approximately 0.6% of Ola Electric's equity, through a bulk deal. The shares were offloaded at an average price of ₹34.99 per share, valuing the transaction at around ₹920 million. Ola Electric stated that this was a one-time, limited monetization at a personal level by Aggarwal, and it does not dilute promoter control or alter the company's long-term commitment. Following the sale, all previously pledged shares, amounting to 3.93% of the company, will be released. The promoter group will continue to hold around 34% of Ola Electric.
The primary reason for the stake sale was to fully repay a ₹2.6 billion promoter-level loan. Ola Electric emphasized that the transaction was executed entirely at the promoter's personal level and does not affect the company's operations.
Ola Electric's stock has been under pressure, trading close to its 52-week low. On December 9, 2025, the stock hit a 52-week low of ₹33.20. Year-to-date, the stock is down 60%. This decline contrasts sharply with the company's IPO price of ₹76, now trading at a 55% discount. In the past month, the stock has fallen more than 19%, and it has corrected around 41% in just three months.
Several factors have contributed to the stock's poor performance. In its latest financial results for the September quarter (Q2 FY26), Ola Electric reported net sales of ₹6.9 million, a 43% decrease compared to the same period last year. While the company narrowed its net loss to ₹4.18 million from ₹4.95 million a year earlier, this was not enough to reassure investors. Some analysts have also pointed to a 15.6% quarter-over-quarter decline in consolidated revenue for the quarter ended September 2025.
Beyond financial performance, Ola Electric faces challenges in revenue growth, declining market share, and increasing competition from both traditional and new EV manufacturers. In November, Ola Electric's sales plunged nearly 50%, pushing the company down to the fifth position in the market. Registrations fell below 10,000 units, and its market share slipped below double digits to 7.4%. Service-related complaints and a battery IP controversy have further damaged market perception.
Analysts have expressed concerns about Ola Electric's ability to scale profitably in a crowded EV market. According to a Trendlyne report, the consensus share price target is ₹35.06, with a "Hold" rating. Ravi Singh, Chief Research Officer at Mastertrust, suggested the stock looks weak and could slip further, advising investors to consider exiting. Osho Krishan, Senior Analyst at Angel One, recommended staying on the sidelines until a clear reversal is visible, with resistance placed in the ₹40–42 zone.
Despite these challenges, Ola Electric maintains a significant promoter stake and has taken steps to improve operational efficiency. The release of pledged shares could also improve market sentiment. The company's ability to recover will depend on improvements in revenue growth and progress toward profitability.
