Ola Electric maintains Bullish views from Foreign Brokerages : Citi Highlights Market Strength

BILKULONLINE

Ahmedabad, Nov 28: Global brokerages, including Citi, Goldman Sachs, HSBC, and BoFA Securities, maintain a positive outlook on Ola Electric, citing its leadership in India’s EV sector and long-term growth potential. 

Citi’s Key Observations

Citi, in its latest report, assigns a “Buy” rating with a target price of Rs 90, spotlighting Ola’s 38% market share in the two-wheeler EV space (FY25 YTD). The brokerage sees upcoming launches of motorcycles and electric three-wheelers as major growth drivers. While service quality challenges persist, Citi believes supply chain improvements will address these issues over time, reinforcing the company’s position amid industry consolidation. 

Broader Brokerage Sentiment 

Goldman Sachs (Target: Rs 137) emphasizes Ola’s market growth potential and focus on addressing service network gaps. HSBC (Target: Rs 110) sees growth in product launches and battery advancements but flags operational risks. BoFA (Target: Rs 120) highlights Ola’s market leadership and profitability drivers while noting service scalability challenges. 

Product Innovation: Ola PowerPod

Ola’s recently launched PowerPod, priced at Rs 9,999, showcases its battery innovation by doubling as an inverter for household power needs. This product, with a 1.5kWh capacity, supports essential devices for up to three hours, targeting semi-urban and rural markets.