Physicswallah Stock Performance Analyzed

Physicswallah, a popular online education company, is currently experiencing a downturn in its stock price. The stock dropped by 5.38% to reach Rs 127.60, marking its fourth consecutive day of decline. This decline represents a significant correction of 17.78% over the last four trading sessions, reflecting recent market volatility.

Key Points

• Stock fell 5.38%, fourth straight decline of 17.78%.
• Significant correction after a strong initial listing in November 2025.
• Company raised ₹1563 crore from anchor investors before the IPO.
• Funds are used for new centers, lease payments, and acquisitions.
• Offers courses in test prep and upskilling across multiple domains.
• Company currently operates 303 offline centers with 6,267 faculty.

The company’s stock initially surged to a record high of Rs 162.05 on its debut on November 18, 2025, trading at Rs 155.20. However, trading has been unstable since. The stock is now 21.26% lower than this peak but still 17.06% above the price it sold for during its initial public offering (IPO).

The IPO was a busy one. It was offered between Rs 103 and Rs 109 per share. Investors showed strong interest, subscribing to the issue 1.81 times. The IPO included a fresh offering of Rs 3,100 crore and shares already owned by the founders were sold. Founders Alakh Pandey and Prateek Boob each sold 1.74 crore shares worth Rs 190 crore at the upper price band.

The money raised through the IPO will be used in several key areas. Physicswallah plans to invest Rs 460.5 crore in setting up new offline and hybrid learning centers. A further Rs 548.3 crore will be allocated for lease payments for existing centers. Additional funds will be used for a subsidiary called Xylem Learning, Utkarsh Classes & Edutech, as well as investments in server infrastructure, marketing, and potential acquisitions.

Before the IPO, Physicswallah secured Rs 1,562.84 crore from 57 prominent anchor investors, by allotting 14.33 crore shares at Rs 109 each. Physicswallah provides courses for competitive exams like JEE, NEET, and UPSC, as well as offers upskilling programs in areas such as analytics, finance, and software development. The company delivers content through its online platform and operates tech-enabled offline and hybrid learning centers.

As of June 30, 2025, Physicswallah operates 303 offline learning centers, supported by a team of 6,267 faculty members. For the quarter ended June 2025, the company reported a consolidated net loss of Rs 127.01 crore, despite generating sales of Rs 847.09 crore.

Ultimately, Physicswallah’s future success hinges on its ability to effectively execute its expansion strategy and demonstrate continued profitability.