Stock exchanges have revised the price range for Ola Electric shares downwards

Electric OlaThe share price range was revised downwards by the stock exchanges.

What happened: Ola Electric's share price has been on a tear since its listing earlier this month. The stock has risen by around 74% since the listing. On Friday, the stock was caught in the upper 20% range, closing at ₹133.08.

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However, the price band for Ola Electric stock has now been revised downwards to 10%, which means that the stock can only move 10% in either direction on Monday. Exchanges adjust price bands as a monitoring measure to control excessive volatility. The BSE's circuit filter mechanism limits daily price fluctuations for listed securities and sets upper and lower limits for price movements.

According to the Securities and Exchange Board of India (SEBI), most individual stocks are subject to price fluctuations of up to 20% up and down, except for stocks with associated derivatives. These measures are designed to curb extreme price fluctuations and maintain market stability.

Earlier in the week, HSBC initiated coverage on the stock with a “buy” rating and a price target of ₹140.

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