India’s IPO market continues to outperform expectations in FY2026-27, with average first-day gains of 12 per cent and a broad pipeline of companies awaiting regulatory approval, despite pockets of volatility and mixed post-listing performances.
India’s initial public offering market has continued to reward investors in the current financial year, even as the pace of gains has varied sharply from one listing to another. Axis Capital said mainboard IPOs delivered an average first-day gain of 12 per cent in FY2026-27 through July 31, while the average return against issue price stood at 15 per cent, underscoring a market that remains broadly supportive despite pockets of volatility.
The brokerage’s update, which examined 407 mainboard IPOs and follow-on public offers listed between July 2020 and July 2026, found that 12 of the 18 issues tracked for FY2026-27 were trading above their offer prices at the end of July. Over the longer period, the report said the average listing-day pop across the full sample was 21 per cent and the average gain from issue price was 66 per cent, although performance diverged widely after debut.
That spread is clear in the post-listing data. Axis Capital said 21 per cent of the companies in its sample were trading more than 100 per cent above their issue prices, while 12 per cent were up 50 per cent to 100 per cent. Another 14 per cent were ahead by 25 per cent to 50 per cent, and 9 per cent were up 10 per cent to 25 per cent. At the other end of the spectrum, 5 per cent were down up to 10 per cent from issue price, 10 per cent had fallen 10 per cent to 25 per cent, 17 per cent were off 25 per cent to 50 per cent and 9 per cent had dropped by more than half.
Activity also stayed firm in July, when 12 mainboard IPOs came to market. Nine listed at a premium, one was flat and three had not yet debuted by July 31. The combined market value of the 407 listed companies rose 4.89 per cent month on month to Rs 64.59 lakh crore, outpacing the Nifty 50 and the S&P BSE Sensex, though the S&P BSE IPO index slipped 0.51 per cent. The data comes against a busy backdrop for India’s primary market: KPMG said FY2025-26 brought 108 IPOs raising INR 1.76 trillion, while Business Standard has reported that the market remains supported by a large pipeline of companies awaiting regulatory approval. Axis Capital said 146 companies had already received Securities and Exchange Board of India approval, 67 were awaiting clearance, 65 had filed draft papers and 33 had submitted confidential draft prospectuses since March 2025.
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