India’s primary market saw an eventful year in 2025, marked by strong investor participation but sharply divergent outcomes across listings. Despite bouts of volatility in the secondary market, IPO activity remained robust across both the main board and SME segments, with several companies delivering strong post-listing gains while others struggled to hold their issue prices.
The data shows that IPOs rewarded investors selectively, underlining the importance of business quality and valuation discipline rather than mere listing-day momentum.
A total of 102 companies were listed on the main board during 2025. Of these, 70 stocks delivered positive listing-day returns, while 11 debuted at their issue price. However, 21 companies listed below their IPO price, highlighting the uneven nature of market sentiment.
Infrastructure, consumer services and electronics dominated the list of top listing-day performers. Highway Infrastructure Limited emerged as the biggest gainer on debut, jumping 64.29 percent over its issue price. Urban Company, Aditya Infotech (CP Plus) and LG Electronics India also posted listing gains of around 50 percent or more, reflecting strong demand for well-known brands and scalable business models.
On the downside, logistics and steel companies featured prominently among the worst debutants. Om Freight Forwarders and Glottis Limited lost nearly 40 percent and 35 percent, respectively, on listing day, while BMW Ventures and Laxmi India Finance also debuted at double-digit discounts.
Post-listing performance remained encouraging overall. Ninety-six companies traded above their IPO price at some point after listing, while only six stocks failed to move above the issue price even once.
Notably, seven companies generated returns of more than 100 percent from their IPO price during the year. Stallion India Fluorochemicals stood out as the top performer, delivering a staggering 370.89 percent return, driven by strong sectoral tailwinds in chemicals. Aditya Infotech, Quadrant Future Tek, Quality Power Electrical Equipments, and Ather Energy also delivered gains of over 145 percent, rewarding patient investors.
However, volatility remained elevated. While 26 companies stayed consistently above their issue price after listing, 76 stocks slipped below the IPO price at some stage, underlining the risks associated with post-listing price swings.
Among the laggards, Gem Aromatics, Glottis Limited, and VMS TMT recorded declines of over 45 percent from their highs after listing, reflecting weak earnings visibility and pressure in cyclical sectors such as logistics and steel.
The SME segment remained highly active in 2025, with 253 companies listed across the NSE and BSE SME platforms. Of these, 146 companies delivered positive listing-day returns, 26 listed at par, while 81 debuted below their issue price.
Post-listing performance was relatively strong, with 193 SME stocks trading above their IPO price at some point, though 60 companies failed to cross their issue price, highlighting the higher risk profile of the segment.
Overall, the IPO market in 2025 demonstrated healthy depth and sustained investor interest across both segments. While a majority of listings delivered gains either on listing day or during the post-listing phase, the wide dispersion in returns underscores heightened volatility and stock-specific risk.
The data clearly suggests that long-term wealth creation was driven more by business fundamentals, sectoral tailwinds and reasonable valuations, rather than short-term listing gains alone. Going forward, selective participation, thorough due diligence and a medium-to-long-term investment approach will remain critical for investors looking to tap opportunities in India’s primary market.
Analysis by: Research Desk, MyEquityLab.com (SEBI Registration No.: INH000023843)