Physicswallah Stock Performance Analyzed

Physicswallah’s stock has been declining significantly, falling 5.38% to Rs 127.60. This marks the fourth consecutive day of losses, and the stock has dropped a total of 17.78% over the past four sessions. Investors are reacting to a combination of factors, including recent financial results and shifts in market sentiment.

Key Points

• Stock dropped 5.38%, marking a fourth straight decline.
• Total correction is 17.78% over four trading sessions.
• Significant investor concern based on recent financial performance.
• IPO was oversubscribed 1.81 times, indicating initial demand.
• Funds raised from IPO will be used for center expansion.
• Company focuses on test prep and upskilling education programs.

The stock’s journey began with a strong debut on November 18, 2025, at Rs 143.10, representing a 31.28% premium to the initial IPO price of Rs 109. It quickly reached a record high of Rs 162.05 on that day but then started to fall. Now, the price is 21.26% lower than that peak, however, it remains 17.06% above the original IPO price.

The IPO itself was a busy event. It was open for subscription from November 11th to 13th, 2025, and investors heavily subscribed to it – 1.81 times. The IPO was priced between Rs 103 and Rs 109. The company’s founders, Alakh Pandey and Prateek Boob, also participated, selling 1.74 crore shares worth Rs 190 crore at the highest price offered.

The money raised from the IPO isn’t just for building new centers. Physicswallah plans to use approximately Rs 460.5 crore to create new offline and hybrid learning spaces and Rs 548.3 crore to cover existing center lease payments. Smaller allocations, around Rs 47.2 crore, are earmarked for a subsidiary called Xylem Learning and another Rs 33.7 crore for Utkarsh Classes & Edutech. They also have money set aside for things like server infrastructure, marketing, and potential acquisitions.

Before the IPO, Physicswallah successfully raised Rs 1,562.84 crore by securing commitments from 57 “anchor” investors. They allocated 14.33 crore shares at a price of Rs 109 each. Physicswallah’s core business involves offering test preparation programs for important exams like JEE, NEET, and UPSC, as well as upskilling courses in areas like analytics, finance, and software development.

The company delivers its educational content through online platforms and operates tech-enabled offline and hybrid learning centers. As of June 30, 2025, Physicswallah had 303 physical centers, supported by a team of 6,267 faculty members. For the quarter ending June 2025, the firm reported a net loss of Rs 127.01 crore, despite generating sales of Rs 847.09 crore.

“This analysis reveals a company navigating market fluctuations while pursuing strategic expansion and diverse educational offerings.”