Ujjivan Small Finance Bank had a phenomenal listing on the bourses. The shares had been allotted in the IPO at Rs.37. As against the issue price of Rs.37, the stock listed at a 57% premium at a price of Rs.58.30 on the stock market. The IPO had been oversubscribed by nearly 170 times. As at 10.45 am in the morning on 12 December, the stock had touched a low of Rs.53 and an intraday high of Rs.62.80. The stock had come under some pressure and is quoting at around the Rs.55.50 mark at 10.45 am.

In case you have got an allotment in the IPO, it would be a good idea to take some profits off the table. In case you are looking at a fresh entry, you can wait for the price to settle down because the huge HNI oversubscription would mean that there will be selling pressure from the IPO funding clients for the next few days. Hence you could get lower levels on the stock. A better way would be to adopt a phased approach to buying the stock and keep adding on dips. However, the stock does offer value even at these levels from a longer term perspective.