DOMS Industries witnessed a stellar debut on the stock exchanges, with its share price listing at ₹1,400 per share on both NSE and BSE. This marked a remarkable 77.2% increase from its issue price of ₹790.
Although the initial gains were substantial, the share price slightly retreated into the red zone during the early trading hours. As of 10:48 IST, DOMS Industries share price is trading at ₹1,390.40 apiece on NSE, reflecting a 0.7% decline.
The opening price of ₹1,400 exceeded the grey market premium, which was speculated to be around +500, approximately ₹1,300, according to Arun Kejriwal, the founder of Kejriwal Research and Investment Services.
The strong market conditions without any correction contributed to the impressive performance of DOMS shares. However, Kejriwal cautioned investors about exercising extreme caution, considering the need for sustained new purchases to validate the current price level.
Shivani Nyati, Head of Wealth at Swastika Investmart Ltd., highlighted that DOMS Industries made its debut at ₹1,405, a 77% premium over its issue price. The company’s robust manufacturing capabilities, diverse product portfolio, and strong brand position it well for long-term growth.
Strategic alliances and multichannel distribution further enhance its reach to a broader audience. Despite the fully priced initial public offering (IPO) at a P/E of 43x, Nyati recommended allottees who aimed for listing premium to consider booking profits. Investors with a long-term view, however, may choose to hold, setting a stop loss at ₹1,260. Nyati advised against initiating fresh purchases at the current elevated levels.
Mahesh M. Ojha, AVP of Research & Business Development at Hensex Securities Pvt Ltd, suggested that investors should consider booking at least 50% of profits on the day of listing itself. The remaining portion can be held for long-term investment.
Ojha emphasized DOMS Industries’ leadership in the stationery industry, citing its stellar debut with a remarkable 77.79% return for investors. He highlighted the company’s traits of rapid growth, strong brand recall, robust manufacturing infrastructure, efficiency driven by a focus on backward integration, and strong financials.
