Ola Electric shares have faced a steep fall, crashing nearly 75% from their all-time high, touching a record low of ₹39.76 on the NSE this Friday. This sharp decline comes amid weak quarterly results, continuous block deals, and key investors like Hyundai and Kia reducing their stakes, sparking concerns among retail and institutional investors.
On July 10, 2025, the BSE recorded a block deal of 1.29 million Ola Electric shares, pushing the stock down by nearly 1.2% to ₹39.90 during intraday, before closing at ₹39.80, down 0.38% for the day. The persistent sell-off reflects mounting pressure as multiple block deals have hit the stock over June and July, reflecting institutional exit signals.
Why Is Ola Electric Share Price Falling?
The decline in Ola Electric’s stock price is attributed to:
Weak Q4 FY25 earnings, where the company reported a net loss of ₹870 crore, over double the loss from the previous year.
Revenue plunged 62% YoY to ₹611 crore, with vehicle deliveries dropping to just over 51,000 units, down from 115,000 units a year ago.
Operating margin deteriorated sharply from 9.3% to -78.6%, indicating severe operational stress.
A consistent block deal overhang, with Hyundai completely exiting its 2.47% stake in early June, and Kia Motors also trimming its position, sparking panic selling among other investors.
Despite these challenges, Ola Electric reported an improvement in gross margins to 19.2%, driven by better monetization strategies and higher contributions from its Gen-3 platform, providing a small silver lining for its long-term roadmap.
What Do Analysts Say About Ola Electric Shares Now?
Several analysts have advised caution and suggested avoiding fresh buying at current levels unless Ola Electric shows a meaningful improvement in revenue and sales performance in upcoming quarters. The company is set to announce its Q1 FY26 results on July 14, 2025, which will be critical for market sentiment and will indicate whether the EV giant can reverse its declining trajectory.
While the current stock levels may look attractive, the uncertainty around demand, increasing competition in the EV market, and the company’s widening losses remain key risks for investors. For existing investors, experts recommend holding with a strict watch on the Q1 results, while new investors are advised to wait for clear signs of a turnaround.
Is This an Opportunity or a Trap?
Ola Electric continues to lead India’s electric two-wheeler market but faces challenges from emerging rivals, operational inefficiencies, and demand moderation. If the company can stabilize its operations, improve delivery volumes, and control costs, the current low could become an attractive entry point for long-term EV market believers.
However, if the upcoming earnings fail to meet expectations, the stock may remain under pressure, risking further downside. Investors should watch for:
- Delivery volume recovery in Q1 FY26
- Updated guidance on profitability and cash flow
- Market response to its latest model launches and Gen-3 platform ramp-up
Final Words
Ola Electric’s massive share price correction highlights the risks and volatility inherent in the EV startup space in India. The next few weeks will be crucial in determining whether Ola Electric can reclaim investor confidence and stabilize its operations or continue its downward spiral.
If you are tracking Ola Electric share price, Ola Electric Q1 results, and EV stock opportunities in India, stay tuned for the company’s financial updates on July 14 to gauge its recovery path.