Tata Capital IPO Listing Underwhelms Investors in 2025

On October 13, 2025, investors in Tata Capital's record-breaking Initial Public Offering (IPO) are set to experience a muted debut on the stock exchanges. The ₹15,512-crore IPO, the largest domestic issue since Hyundai Motor India's ₹27,870 crore offering last year, was priced between ₹310 and ₹326 per share.

However, according to analysts, the stock's unofficial grey market premium, which indicates the extra price investors are willing to pay over the IPO price in the unofficial market before listing, stands at just 2% above the issue price of ₹326. This suggests that the listing gains for Tata Capital are likely to be minimal.

"Tata Capital's IPO is likely to list on a flat note, with limited immediate upside," said Raj Gaikar, research analyst at Samco Securities. The issue was subscribed 1.95 times, indicating moderate investor enthusiasm.

Analysts are advising investors to either book profits on listing or adopt a long-term buy-and-hold approach. "Upon listing, if there are profits, we advise booking gains. Otherwise, investors would be compelled to hold the stock for the long term," said Geetanjali Kedia, an analyst at SPTulsian Investment Advisers.

While the Tata brand name adds credibility, the overall sentiment suggests that short-term investors may exit post-listing, leading to a subdued performance in the near term. However, analysts believe the stock has the potential to deliver superior gains over time if the company's financial performance sustains.