3 Bluechip IPO Stocks That Plunged To 52-week Lows This Week, Should You Buy?

IPOs were the flavour in 2021 raising good sums of money. Investors poured money into IPOs, but, many of them have come-off from 52-week. If they are holding some of these, they could have missed the money to cash-out earlier and are now incurring losses. Here are stocks that have now plunged to 52-week low and in some cases sharp losses when compared to their IPO price.

PB Fintech (Policy Bazaar)

Current market price	IPO price	52-week low price
Rs 863	Rs 980	Rs 858

PF Fintech, the parent company of Policybazaar and Paisabazaar, has slumped to a near 52-week low price. The company which came out with an IPO at Rs 980, is currently trading at Rs 863, which means pretty decent losses for investors.

To be honest most of the IPOs at that point in time were expensively priced given the crazy rush for IPOs from investors. Even at the current market price, buying into PB Fintech could be an expensive proposition. On the listing day the shares had jumped by 20% offering investors an excellent opportunity to exit. It may now be just to late.

One97 Communications (Paytm)

Current market price	IPO price	52-week low price
Rs 960	Rs 2150	Rs 960

Those who were allotted shares of Paytm would have halved their wealth in the stock by now. The stock is trading at a new 52-week low of Rs 960. Each time investors ask themselves a question on whether it would be a good time to buy the stock, it falls further.

The company has a terrific brand no doubt about that, but, investors remain skeptical on the financial performance going forward. Is this stock going to recover any time soon and should we buy into the same. The answer is no. There are good stocks that are available with good profits and good dividend yields.

Zomato Ltd

Current market price	IPO price	52-week low price
Rs 114.55	Rs 76	Rs 114

The one good thing is unlike Paytm and Policy Bazaar parent companies, at least in this case there are no losses that investors have incurred in the IPO. One is still getting a decent amount, if one was allotted shares. Growth prospects are good, though it may not be long before competitors emerge.

If you have made your money, there is no harm in booking profits and taking profits off the table. In fact, we believe that markets are slated to drop lower, given that interest rates are expected to rise in the coming quarters globally. We suggest if prices of some of these stocks mentioned above rally, it maybe a good time to book profits. There are plenty of opportunities in this market, where investors can find value.

Disclaimer

Investing in equities is risky and investors must therefore understand the risk. The author and Greynium Information Technologies Pvt Ltd would not be responsible for any losses caused based on the article. The author and is family do not hold shares in any of the above mentioned companies. Caution is advised before investing in the markets.