In a significant downturn for the edtech sector, PhysicsWallah Ltd (PW) has seen its share price slip below its initial public offering (IPO) price of ₹109. On February 10–11, 2026, the stock touched an all-time low of ₹107–₹108, marking a complete reversal from the 33% listing gains it enjoyed during its debut in November 2025.
PhysicsWallah (PW) Stock Performance Summary
Despite a strong market debut, the stock has faced persistent selling pressure, underperforming the broader Nifty and Sensex indices.
| Metric | Details (as of Feb 11, 2026) |
| Current Market Price | ₹107.10 – ₹109.00 |
| IPO Issue Price | ₹109.00 |
| 52-Week High | ₹161.99 (Nov 18, 2025) |
| 52-Week Low | ₹106.90 (Feb 10, 2026) |
| Market Cap | ~₹31,000 Crore (Down from ~₹46,000 Cr peak) |
| Status | Trading at/below IPO Price |
Key Reasons for the Price Drop
1. Post-Listing “Cooling Off”
The initial euphoria that saw the stock surge to ₹156 on its first day has largely evaporated. Market analysts point to significant profit-booking by early investors and a cooling of the “hype-based” investing that often follows high-profile edtech listings.
2. Valuation & Profitability Concerns
While PW reported a 33% rise in net profit (₹102 crore) for Q3 FY26, the market remains cautious about its long-term valuation.
- Aggressive Expansion: The company is spending heavily on offline and hybrid centers (300+ centers currently), which has significantly increased operating expenses.
- High P/B Ratio: Even at current levels, the stock is trading at over 22 times its book value, which some institutional investors consider “risky” compared to traditional consumer service peers.
3. Competitive Pressure & Sector Sentiment
The edtech sector in India is undergoing a massive transformation. As competitors like Unacademy and Vedantu also pivot toward offline models, the “cost of student acquisition” is rising. Furthermore, a broader pullback in “new-age” consumer-tech stocks has soured sentiment for recently listed startups.
4. Promoter Holding Shift
Recent disclosures indicated a decrease in promoter holding (down by ~23.8% over the last quarter), which, while often part of standard post-IPO liquidity management, can trigger a “sell” signal for retail investors.
The Q3 FY26 “Silver Lining”
Despite the stock’s fall, the company’s fundamentals showed growth in its latest earnings call (February 6, 2026):
- Revenue: ₹1,082 crore for the quarter (up 34% YoY).
- Cash Reserves: Stays strong at ₹5,054 crore, providing a significant buffer for further expansion.
- User Growth: 3.9 million new registrations in the nine months ended December 2025.
Conclusion: Support at the IPO Level?
For many analysts, the ₹109 mark is a critical psychological support level. If the stock fails to stay above its issue price, it could enter a period of prolonged consolidation. However, for long-term “value” investors, the strong profit growth and massive cash pile may represent a buying opportunity at “issue price” levels.
