Investors are keeping a close eye on GK Energy and VMS TMT IPOs in the primary market. According to GMP, GK Energy IPO is expected to offer up to 19% listing gains, while VMS TMT could provide approximately 15% profit.
IPO Investment Alert: These days, two IPOs are generating buzz among investors in the primary market: GK Energy IPO and VMS TMT IPO. Notably, today is the last day to invest in the VMS TMT IPO; applications can be submitted only until 5 PM. The investment window for GK Energy IPO, however, is still open. This raises the significant question of which of these two IPOs might be more beneficial for investment. We will estimate this based on GMP (Grey Market Premium) and other factors.
How an IPO Offers Investment Opportunity
An IPO (Initial Public Offering) is the mechanism through which companies raise capital from the primary market. In an IPO, investors directly purchase shares from the company. Subsequently, the company gets listed on the stock market, which is also known as the secondary market. Before investing in an IPO, investors often look at the GMP. GMP helps estimate how much premium might be gained at the time of listing.
Grey Market Premium (GMP) of GK Energy IPO
According to reports from the grey market, the GMP for GK Energy IPO is ₹30. This indicates a potential listing gain of approximately 19.61% for this IPO. This means if investors enter at this price, they could see good profits upon listing.
- Price Band: ₹145 to ₹153
- Lot Size: 98 shares
- Minimum Investment Amount: ₹14,994
- Last Date for Investment: September 23
Considering these factors, GK Energy IPO could be an attractive option for investors looking for medium-term gains or listing gains.
Grey Market Premium (GMP) of VMS TMT IPO
On the other hand, the GMP for VMS TMT IPO has been recorded at ₹15. This implies investors could see a listing gain of approximately 15.15%. According to reports, the estimated listing price for this IPO could be around ₹114 per share.
- Price Band: ₹94 to ₹99
- Lot Size: 150 shares
- Minimum Investment Amount: ₹14,850
- Last Date for Investment: Today (until 5 PM)
Accordingly, VMS TMT IPO can also offer investors an opportunity for listing gains, although the percentage of profit appears slightly lower compared to GK Energy.
Which IPO is Better?
Observing the GMP for both IPOs, it is clear that GK Energy IPO has a higher premium, and its potential for listing gains is considered better. While VMS TMT IPO also offers profit opportunities, the upside might be somewhat limited.
However, it is crucial to remember that GMP is merely an estimate. The actual profit or loss is only known on the day of the IPO listing. Furthermore, investors should not make decisions solely based on GMP. It is also essential to examine the company's fundamentals, business model, and financial position.
