Valuation of Indian Ipo’s Allotment and Current Price Analysis - Are Indian Ipo’s Overvalued?

Purpose: This study was conducted to analyze the IPOs of companies listed between 1st January 2021 30th April with objective determine whether price at which were introduced are fair, undervalued or overvalued and performance these have a significant relationship factors such as size IPO, age company proportion promoters holding in company. Theoretical framework: Companies registered India can usually raise funds two ways: borrowing money using debentures issuing shares. An initial public offering is financial arrangement wherein shares private offered for sale first time general public. Based on theory described in, semi-theoretical pricing framework created fixed-price book-building mechanisms. Design/methodology/approach: The data collected from NSE (National Stock Exchange) website analyzed metrics Abnormal Returns calculated order if underpriced, overpriced fairly priced Regression has been performed check there any among Age, Size IPO promoter’ holdings after listing day gains short-term IPO. Findings: It found that Indian thus leave table issuer IPOs. From regression analysis, it observed no company, promoters’ days returns 10-day period return Research, Practical & Social implications: Although most researchers believe affected by hot cold periods bearish-bullish trends, we trying effectiveness method following pandemic India. uses tools Mean Return (AMR) total 10 IPOs, market during same period, other variable like size, ownership they impact returns. Originality/value: Fair valuation an could be reason its success over-valuation under-valuation may lead failure result huge monetary losses. current research sense contributes making clear about concept through Literature valuations analysis based