FIIs bullish on this EV-stock under Rs 55 & Bought 6,98,04,531 shares: Jumps 6.6% with heavy volume, Here’s why!

Ola Electric Mobility Limited jumped over 6 per cent on Tuesday as company received Certification for Compliance under the Production Linked Incentive (PLI) Scheme for the automobile and auto components sector for its Gen 3 scooter portfolio. The Automotive Research Association of India (ARAI), operating under the Ministry of Heavy Industries, granted the certification, making Ola’s Gen 2 and Gen 3 portfolios fully PLI-certified.

The PLI approval covers all seven Gen 3 models — S1 Pro 3 kWh, S1 Pro 4 kWh, S1 Pro+ 4 kWh, S1 X 2 kWh, S1 X 3 kWh, S1 X 4 kWh, and S1 X+ 4 kWh — and makes the company eligible for incentives ranging from 13 per cent to 18 per cent of the determined sales value (DSV) until 2028. Company management says the Gen 3 range constitutes the bulk of current sales, and the PLI benefit is expected to materially strengthen margins and cost structure.

Ola’s management expects the PLI certification to substantially enhance profitability beginning Q2 FY26 and to be a strong catalyst for the auto business to turn EBITDA positive. The company highlighted that improved margins will support sustainable growth while allowing it to keep pricing competitive for customers.

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Product updates announced at the annual ‘Sankalp’ event include the S1 Pro Sport in 5.2 kWh and 4 kWh, the S1 Pro+ 5.2 kWh, and the Roadster X+ 9.1 kWh, all built on the 4680 Bharat Cell. Introductory prices were announced as Rs 1,49,999, Rs 1,69,999 and Rs 1,89,999 respectively. Deliveries for the S1 Pro Sport are scheduled to begin in January 2026, while the S1 Pro+ 5.2 kWh and Roadster X+ 9.1 kWh are slated to start deliveries this Navratri.

Ola Electric continues to pursue vertical integration across EV technology and manufacturing, including cell and battery production at the Ola Futurefactory in Tamil Nadu and R&D at the Bengaluru-based Battery Innovation Centre (BIC). The company sells directly to consumers through over 4,000 company-owned stores and a robust online channel, forming India’s largest company-owned automotive experience network.

For investors and market watchers, the PLI certification and new product launches could influence Quarterly Results and margin outlook. Analysts and retail investors may factor PLI incentives into valuation models, and these developments could affect perceptions across market segments — from Small-Cap to Mid-Cap and Large-Cap coverage, as well as interest around IPO activity, dividend policy, bonus and rights issues in the broader EV supply chain. The certification is also likely to be viewed positively by those tracking margin improvement and the path to EBITDA breakeven.

The stock price has given 18 per cent returns in last 1 month.

Disclaimer: The article is for informational purposes only and not investment advice.