Jio Platforms Limited officially listed its shares on the stock market on Wednesday, October 28, following an overwhelmingly successful initial public offering (IPO). The telecom and digital services giant's shares were met with significant investor interest, with unofficial market signals, known as grey market premium (GMP), suggesting a robust 22% upside for initial investors.
The IPO, which was open for subscription from October 21 to 23, saw shares offered in a price band of Rs 1,065 to Rs 1,119. The issue was entirely a fresh offering of 27 crore equity shares, raising a historic Rs 30,213 crore. The subscription figures were staggering, with the IPO being oversubscribed 22.19 times overall, attracting nearly 1.4 crore applications and bids totaling over Rs 4.9 lakh crore, setting new records for an Indian IPO. Institutional bidders, in particular, showed immense demand, subscribing to their portion more than 70.55 times.
Investor Dilemma: Book Profits or Hold?
Ahead of the listing, the grey market premium for Jio Platforms shares hovered around Rs 250 per share, indicating a potential 22% gain for investors. However, analysts are offering mixed advice on the best strategy for investors.
Mahesh M Ojha, Vice President – Research at Kantilal Chhaganlal Securities, highlighted Jio Platforms' strong market dominance and attractive valuation. "The expected 20–22 per cent listing gain offers an excellent immediate window for short-term traders, while the firm's robust compounding potential justifies a definitive buy-and-hold strategy for long-term wealth creation," Ojha stated. He noted that Jio trades at a post-IPO FY2026 P/E of 34.4 times, presenting a discount compared to Bharti Airtel's P/E of 40 times.
Expert Recommendations on Listing Day
- For Allottees: Dr. Ravi Singh, Chief Research Officer at Master Capital Services, advised that investors who received an allotment could consider booking partial profits if the stock lists at a significant premium. However, long-term investors might choose to hold based on their individual risk appetite.
- For New Investors: Dr. Singh cautioned fresh investors against chasing the stock at expensive valuations immediately on listing day. He recommended waiting for price stabilization and thoroughly evaluating valuations, earnings growth, and future business prospects before making an investment.
Rahul Sharma, Head of Research at Equity99, also suggested a cautious approach for short-term traders. "If we see a good spike, short-term traders can book some profits, while long-term investors can continue to hold their shares, given the company's fundamentals and strong RIL backing," he commented, considering the issue size and prevailing market conditions.
Long-Term Growth Prospects
The long-term outlook for Jio Platforms remains highly positive among experts. Uday Patil, Executive Director at PL Capital, emphasized the company's strong growth potential. "Strong growth potential, supported by higher average revenue per user, home broadband, enterprise services and the monetisation of digital platforms, could support future growth," Patil observed, adding that "It is definitely a long-term bet, and every investor would like to have the share in their portfolio."
If the grey market trend holds, Jio Platforms is poised to become India's second-most valuable company, surpassing Bharti Airtel and trailing only its parent company, Reliance Industries Ltd.