Ola Electric shares were racing at the bourses on Friday evening as the company regained market share in October.

What Happened: The EV maker registered 41,605 units in October 2024, a 74% increase from the previous year, according to data from Vahan Portal. The company said that it has sold over 50,000 units during the month, securing a 30% share of the electric two-wheeler market. The company’s market share had fallen to 28% in September.

Ola Electric has noticed an uptick in electric vehicle adoption in Tier 2 and Tier 3 markets. As part of its expansion strategy, the company has launched a campaign to double its company-owned service network to 1,000 centres by December 2024.

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The surge in sales comes at a crucial time for Ola Electric. The company’s shares had fallen below its listing price of ₹76 in late October, sliding 50% from its all-time high of ₹157.40 in August. The dip has been largely due to the company’s decline in sales and concern about service.

Global brokerage firm HSBC also cut its price target to ₹110 from ₹140. The brokerage firm expressed concerns regarding slower-than-expected growth in electric two-wheeler adoption, increased competition and persistent service challenges.

Price Action: Ola Electric’s share price was up 2.61% to trade at ₹82.99 on Friday evening.

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