Zomato, Paytm, Nykaa shares drop up to 19% amid brutal tech sell-off

Zomato shares drop up to 19% – Shares of listed start-ups and new age technology companies have been under heavy selling pressure due to high valuations and negative bottom line, which has dented the sentiment.

In early trade on Monday, Zomato NSE fell 18.39% by 19 per cent to Rs 91.70. The counter price had fallen by nearly 30 per cent last week. The food delivery platform is trading below its listing price and the company’s market cap has slipped below Rs 80,000 crore.

Shares of another listed start-up, Nykaa NSE-14.54%, fell 9 per cent to Rs 1817.7. The stock has registered a decline of 30 per cent from its highest price in November 2021.

Policybazaar’s parent company PB Fintech declined nearly 5 per cent to Rs 825.70. The parent company of Policybazaar and Paisabazaar has lost 45 per cent of its value from the peak level.

The worst-performing Paytm fell 4 per cent to Rs 925 in early trade. Against the issue price of Rs 2,150, the counter value has declined by nearly 60 per cent.

All four stocks hit their respective 52-week lows in early trading on Monday. Market analysts said the fall in global stocks has put these stocks in trouble.

The trend in global markets is clearly bearish. VK Vijayakumar, chief investment strategist at Geojit Financial Services, said the sell-off in tech stocks last week was brutal.

He said, “An important feature of technology selling is the large selloff in non-profit tech stocks. This trend is also affecting stocks like Zomato and Paytm in India.”

Other recently listed stocks, RateGain Travel Technologies, LatentView Analytics, Sona Comstar, MapmyIndia, Sapphire Foods India, Rolex Rings, GR Infraprojects and Metro Brands each fell 5-9 per cent.

Echoing similar views, Harsh Patidar, BFSI analyst at Capitalvia Global Research, said global markets are witnessing a sell-off, especially in technology stocks indicated by Nasdaq, and this is hurting sentiments for Indian start-up companies. Is.

“High inflation, rising bond yields have hurt new age companies,” he said, expecting more pressure on these companies. He suggested investors to go for quality stocks in case a further decline of 10-12 per cent is seen from the current levels.

LEAVE A REPLY

Please enter your comment!
Please enter your name here