Hero Motors, Jindal Supreme shares hit upper circuit post strong market debut; SS Retail extends rise to…

Fresh updates from the financial markets indicate that Hero Motors and Jindal Supreme shares hit their upper circuit limits in Wednesday's market session after making firm market debuts, while SS Retail extended its climb to around 69 percent from its offering price.

Hero Motors shares hit the 20 percent upper circuit limit to quote at Rs 98.40 per share on the NSE, extending its post-stock-exchange debut climb to 17.14 percent.

The climb came after the auto components maker made a muted market debut, stock-exchange debut over 2 percent softer against the offering price of Rs 84.

The stock started trading at Rs 82.10, a discount of 2.26 percent from the offering price on the BSE.

At the NSE, the stock made its debut at Rs 82, down 2.38 percent.

The Rs 1,000-crore IPO had a price range of Rs 79-84 per equity share.

Shivani Nyati, Head of Wealth at Swastika Investmart, stated the firm benefits from a firm position in powertrain solutions and the expansion potential of electric vehicles. That stated, its valuation at around 69-74 times price-to-earnings stays significantly elevated than the peer average of 50.2 times.

Although return on net worth has improved to 8.53 percent and EBITDA margin to around 10.2 percent, both stay below key peers, while high customer concentration adds another risk, she stated.

"Given the firm business prospects but limited valuation cushion, our post-stock-exchange debut view is Neutral. Market participants can wait for better valuation or price consolidation before considering fresh positions, while existing market participants may consider holding with a stop-loss around Rs 75-77," Nyati stated.

The firm has been investing heavily in new joint ventures, including tie-ups for CVT, hub-motor EDUs and dual-clutch transmissions, which should backing expansion ahead. Expansion has been sluggish recently and margins stay modest, stated Sarvam Goel, Founder of Pocketful.

"Market participants who received allotment should hold and track management commentary. This is better suited to a medium to long-term view than a quick trade," he further noted.

Jindal Supreme (India) shares additionally hit the 5 percent upper circuit limit to trade at Rs 126 per share on the NSE, extending their post-stock-exchange debut climb to 35.48 percent.

Jindal Supreme manufactures steel pipes, tubes, crash barriers and GI tubular poles and is unrelated to the larger Jindal Group despite the similar name.

"Expansion has been largely flat between FY23 and FY26, with the recent improvement in profitability fuelled mainly by better steel price realisations rather than volume expansion, and margins jumped noticeably just ahead of the IPO," Goel stated.

"Coming at around 21x FY26 earnings, we don't see much valuation upside from here. Treat this as a stock-exchange debut gain trade rather than a hold," he further noted.

Shares of Jindal Supreme (India) Ltd listed 31 percent elevated than the offering price of Rs 93. The stock made its debut at Rs 121.90, up 31 percent from the offering price on the BSE.

At the NSE, it started trading at Rs 120, a premium of 29 percent.

Dr Ravi Singh, Chief Research Officer at Master Capital Services, stated domestic demand for steel pipes is projected to grow at a CAGR of approximately 5.5 percent between fiscal 2025 and fiscal 2030.

"In the short term, market participants may focus on the firm's topline expansion, order execution and ability to maintain profitability amid business expansion, while long-term market participants may track capacity expansion, order-book expansion and its presence in the steel and related products market," Singh stated.

"Upcoming results could provide further visibility on capacity utilisation, margin stability and cash-flow generation," he further noted.

In the meantime, SS Retail shares extended their post-stock-exchange debut climb to 69.04 percent.

Shares of SS Retail made a firm debut, stock-exchange debut at a premium of nearly 51 percent against the offering price of Rs 424.

The stock listed at Rs 639.10, up 50.73 percent from the offering price on the BSE.

At the NSE, the stock made its debut at Rs 624, registering a jump of 47.16 percent.

SS Retail is a multi-brand mobile phone retail chain with around 500 stores across more than 200 cities, though nearly 90 per cent of its stores and topline still come from Maharashtra, with expansion into new states now underway.

The business additionally offers accessories and mobile exchange services. The anchor book was firm, and the overall offering was subscribed 107 times.

That stated, the pricing is rich, at over 50 times FY26 earnings.

"This works better as a stock-exchange debut gain trade than a long-term hold, so market participants can book earnings on debut," Goel stated.