Ola Electric: Charging Toward a Bottom or Just Burning Out?From the darling of India’s EV⚡️revolution to a stock that's lost nearly 70% of its value, Ola Electric Mobility Ltd has had quite the ride — and not the smooth kind. But with price approaching critical technical levels and management throwing around words like “EBITDA breakeven,” a big question looms:
Is Ola Electric bottoming out — or is more pain on the road ahead?
📉 The Rise... and the Faceplant
Launched in 2017 with bold ambition, Ola Electric quickly captured market share, becoming India’s #1 e-scooter maker with a commanding 31% grip on the E2W sector. The hype translated to a stock price that once touched ₹158.
Now? It’s chilling at ₹43, down over 70%, and recently hit an intraday low of ₹43.16 after a 6.3% drop on June 23. What triggered that?
➡️ Block deal worth ₹107 Cr — 2.41 Cr shares changed hands at ₹44.
➡️ Earlier this month: ₹731 Cr block trade — Hyundai Motor Company exited.
That’s some heavy institutional shuffling.
📉 Technicals: A Reversal Setup Brewing?
Ola’s chart paints a classic A-B-C Zigzag correction, with Wave C still unfolding. The final leg could be nearing completion based on these clues:
✅ C wave targeting the 1.618 Fibonacci extension — a textbook end zone
✅ Daily RSI showing bullish divergence — a sign of momentum loss in selling
⚠️ But price is still ~60% above that extension level (~₹15.29), so caution reigns
“Ola’s plunge has brought it into its final support shelf.
The real question: will demand step in near the 1.618 extension — or even earlier?”
We’re seeing divergence whispering potential — but the big move is still loading.
🔍 Fundamentals: Great Product, Brutal Numbers
Let’s not sugarcoat it — the financials are as ugly as the technicals are hopeful.
Net loss (FY25) : ₹-2,276 Cr
Revenue YoY : Down 62%
ROE : -108% | ROCE : -28.1%
EPS : -₹5.16
P/B Ratio : 3.7 (expensive for a loss-making firm)
On the bright side:
✅ Debt has been reduced
✅ Guidance says: ₹800–850 Cr revenue + margin expansion + Roadster rollout
Optimism? Sure. Execution? TBD.
👀 Sentiment Shift or Smart Exit?
Public holding rose to 52.14% in Mar 2025.
Meanwhile, Hyundai just noped out with ₹731 Cr worth of shares.
FII & DII stakes are falling.
This leaves retail holding the EV bag — again.
⚖️ The Two-Sided Story
🟢 Bull Case
Strong brand, dominant market share
Reversal signals flashing technically
Management optimism around margin turnaround
🔴 Bear Case
Fundamentals still bleeding
RSI divergence coming too early
Major support (~₹15) still distant
🛑 Final Thoughts
Ola Electric is approaching a key decision point — for the stock and the company. Technically, a reversal setup is forming. Fundamentally, the story still needs a lot of work. If buyers show up before ₹15.29, this could be a rebound play. If not, we may just be coasting toward another breakdown.
Disclaimer: This analysis is for educational purposes only and does not constitute investment advice. Please do your own research (DYOR) before making any trading decisions.
