PhysicsWallah Shares Drop Over 15% After Strong Market Debut

PhysicsWallah shares extended losses for the second consecutive session on November 20, falling over 15% during the day before closing at ₹147, up 2.6% from the previous close. The decline follows a strong debut on November 18, when the stock listed at a premium of more than 33% over its IPO price of ₹145 and surged further to ₹156.49 by the end of the day.

Sharp Market-Cap Erosion

The company’s market capitalisation slipped below ₹35,000 crore on November 20, compared to nearly ₹46,300 crore at its peak on the debut day. This marks an erosion of about ₹12,000 crore in just three sessions. The sharp correction comes amid profit-booking and heightened volatility following the listing.

IPO Performance and Listing Details

PhysicsWallah shares listed on the NSE at ₹145 apiece, a premium of over 33% to the IPO price. On debut day, the stock closed at ₹156.49, reflecting a 44% rise from the issue price. Despite the strong start, subsequent sessions have seen heavy selling pressure, pulling the stock closer to its listing price.

Company Profile and Financials

Founded in 2016 as a YouTube channel, PhysicsWallah has grown into one of India’s largest edtech firms, operating online platforms and physical coaching centres. The company reported 49% revenue growth in FY25, while losses narrowed to ₹243 crore from ₹1,131 crore in the previous fiscal. Its valuation still exceeds that of unlisted peers such as upGrad and Unacademy, valued at $2.25 billion and $3.44 billion respectively.

Read More: PhysicsWallah Shares List at Over 31% Premium.

Conclusion

PhysicsWallah’s sharp post-listing correction highlights the volatility often seen in newly listed stocks. Despite strong fundamentals and rapid growth, the company has witnessed significant market-cap erosion within days of debut. Investor sentiment remains cautious as the stock stabilises after initial exuberance. The coming sessions will determine whether the stock can regain momentum or settle near its IPO price.

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