Jio Platforms shares rise nearly 4% a day after strong stock market debut

Shares of Jio Platforms were trading firmly higher on October 29. Against the previous day's close of Rs 1,417, the stock opened at Rs 1,448 on the BSE. By 9:42 am it had reached Rs 1,475, which was Rs 58 above the previous close, a gain of about 4.09%. Since the day of its listing, the company's shares have given investors good returns.

Jio Platforms shares were listed at Rs 1,358 against an issue price of Rs 1,119, a premium of about 21.36%. At the end of trading the stock closed at Rs 1,419, which is 26.81% above the issue price. At this price, an investor who bought a share in the IPO gained Rs 300 per share. After today's rally, investors are wondering what to do next.

According to Sachin Sarvade, a market expert and technical and derivatives analyst, Jio Platforms shares have risen sharply since listing. On October 29 the stock crossed its listing-day high and touched Rs 1,489. Rising buying and heavy trading volumes suggest room for further gains. Since the stock has only just listed, it is difficult to assess support levels on the basis of older moving averages.

Sarvade said that if the stock holds above Rs 1,350 on a closing basis, the upward trend can continue. In that case, targets of Rs 1,550 and Rs 1,600 can be considered. However, these are only possible targets, and the share price can move up and down with market swings.

At the time of the IPO, Jio Platforms was valued at about $108 billion. This puts the company among the select few whose valuation at IPO exceeded $100 billion. The list also includes large companies such as Meta, Alibaba and SpaceX. On listing on the stock market on October 28, Jio Platforms became India's second most valuable listed company.

Among India's five biggest IPOs, Jio Platforms has given investors the highest listing gain. The shares listed at Rs 1,358 against the issue price of Rs 1,119, a gain of more than 21% for investors.

In the shareholder category, investors who bought at least 23 shares gained about Rs 5,497 at the listing price. Retail investors got about Rs 2,868 on each lot of 12 shares. On the other hand, shares of Life Insurance Corporation of India (LIC), Hyundai Motor India and Paytm had listed below their IPO issue prices.