Overview of the IPO Market in 2025
The Indian primary market in 2025 was a year of contrasts. While the total number of IPOs and funds raised reached near-record levels, the quality and performance of listings varied dramatically. Here is a snapshot of the key numbers:
Total IPOs in 2025: India saw approximately 75 mainboard IPOs and over 200 SME IPOs during the calendar year 2025, making it one of the most active years for primary market issuances globally.
Total funds raised: Mainboard IPOs collectively raised over Rs 1.2 lakh crore, bolstered by several mega offerings. Including SME IPOs, the total crossed Rs 1.5 lakh crore — a significant jump from 2024.
Average listing gain: The average listing day gain for mainboard IPOs in 2025 was approximately 18-22 percent. However, this average masks wide dispersion — some IPOs delivered 80-100 percent listing gains while others listed at a discount to issue price.
Market context: 2025 saw the Nifty 50 trading in a broad range, with periods of strong momentum and periods of correction driven by global interest rate expectations, crude oil volatility, and geopolitical developments. IPOs launched during bullish phases generally performed better than those launched during corrections.
You can view detailed performance data for every listed IPO on our performance tracker page, which shows both listing day gains and current returns.
Top 10 IPOs by Listing Gain in 2025
These IPOs delivered the strongest listing day returns for investors who applied and sold on Day 1. The listing gain is calculated as ((listing price - issue price) / issue price) × 100.
Several technology and consumer-facing companies delivered exceptional listing gains in the range of 40-90 percent. These IPOs shared common characteristics: moderate issue sizes (Rs 500-2,000 crore), strong sector tailwinds, reasonable valuations relative to listed peers, and overwhelming subscription across all categories (QIB, NII, and Retail above 10x).
Mid-sized companies from the specialty chemicals, auto components, and healthcare sectors also featured prominently among the top performers. Their listings benefited from the broader "Make in India" narrative and import substitution theme that drove investor enthusiasm throughout 2025.
SME IPOs, while not included in this mainboard ranking, saw some extraordinary listing gains — a few SME issues listed at 100-200 percent premium. However, these came with significantly higher risk and thinner post-listing liquidity.
Key pattern among top performers: The strongest listing gains came from IPOs where QIB subscription exceeded 20x, indicating deep institutional conviction. Retail-heavy subscription without matching institutional interest rarely produced exceptional listings.
Top 10 IPOs by Current Returns (As of Early 2026)
Listing day gains tell only part of the story. The true measure of an IPO's success is how the stock performs after listing. Here are the IPOs from 2025 that have delivered the strongest returns when measured from issue price to their current trading price in early 2026.
Several IPOs that had modest listing gains of 10-20 percent went on to appreciate significantly over the following months, delivering total returns of 80-150 percent from issue price. These were typically companies with strong revenue growth (30 percent or more annually), expanding margins, and market leadership positions in growing sectors.
Hexaware Technologies stands out as an interesting case study. The IT services company listed in February 2025 with a modest listing gain of approximately 5.3 percent — not a blockbuster by any means. However, the stock subsequently appreciated as the company delivered strong quarterly results and benefited from the global IT services demand recovery. Investors who held through the initial muted listing were rewarded with meaningful returns over the following months.
Conversely, some IPOs that had massive listing day pops of 50-70 percent saw their stock prices decline post-listing as the initial euphoria faded and the companies had to demonstrate that their valuations were justified by actual business performance. This reinforces the principle that listing day performance is not always a reliable predictor of long-term returns.
Worst Performing IPOs of 2025
Understanding failures is as important as celebrating successes. These IPOs remind us that IPO investing carries real risk:
Hyundai India IPO — The largest IPO in Indian history (over Rs 27,000 crore) faced a challenging listing. Despite massive brand recognition and strong fundamentals, the IPO was primarily an Offer for Sale (OFS) by the Korean parent Hyundai Motor Company, meaning no fresh capital was flowing into the Indian subsidiary. The stock listed with minimal gains and subsequently traded below issue price as investors questioned whether the aggressive valuation (40x+ P/E) left any upside. The massive issue size also absorbed significant market liquidity, putting selling pressure on the broader market.
NTPC Green Energy — Despite riding the renewable energy wave, NTPC Green's IPO had a muted performance. The company, a subsidiary of NTPC Limited, priced its IPO at a premium valuation relative to its current revenue and capacity. While the long-term renewable energy thesis is compelling, investors questioned whether the premium was justified for a company still in the early stages of scaling its green portfolio.
Swiggy IPO — The food delivery and quick commerce platform had one of the most anticipated IPOs of 2025 but delivered a disappointing listing. While the company had massive revenue scale, persistent profitability concerns, high cash burn in the quick commerce segment, and an aggressive valuation compared to listed peer Zomato weighed on the stock. The listing was near flat, and the stock subsequently traded below issue price as the broader loss-making startup universe fell out of favour with investors.
Common patterns among underperformers:
- Aggressive valuations (P/E or P/S significantly above listed peers)
- Large Offer for Sale (OFS) component — insiders cashing out
- Companies that were not yet profitable or had declining margins
- Very large issue sizes that strained market absorption capacity
- Listing during periods of market weakness or global risk-off sentiment
Sector Analysis — Which Sectors Performed Best
Analysing 2025 IPO performance by sector reveals clear winners and losers:
Top performing sectors:
- Technology and IT Services: Companies like Hexaware Technologies benefited from the digital transformation cycle and growing global IT spending. IT sector IPOs delivered consistent returns driven by predictable revenue growth and strong margins.
- Healthcare and Pharmaceuticals: Hospital chains and specialty pharma companies saw strong listing and post-listing performance. Rising health insurance penetration in India created a structural demand tailwind.
- Specialty Chemicals: Indian chemical companies benefited from the China+1 sourcing strategy adopted by global manufacturers. IPOs in this sector were well-received due to import substitution narrative and export growth.
- Renewable Energy and Green Infrastructure: Despite individual challenges like NTPC Green, the sector overall attracted strong institutional interest. Companies with proven revenue and operational capacity listed successfully.
Underperforming sectors:
- Consumer Tech and Food Delivery: Loss-making consumer internet companies faced scepticism as investors prioritised profitability. Swiggy's muted listing reflected the broader investor fatigue with high-burn business models.
- Real Estate: While select real estate IPOs did well, the sector overall saw mixed performance as interest rate concerns and regulatory changes affected sentiment.
- Automotive and Auto Components: Large automotive IPOs like Hyundai India struggled with valuations despite strong business fundamentals. Investors were reluctant to pay premium P/E multiples for mature automotive businesses.
What Made Winners Succeed — Common Patterns
Analysing the top-performing IPOs of 2025 reveals several recurring patterns:
Pattern 1 — Reasonable valuation. The best-performing IPOs were priced at or below the P/E multiple of their listed peers. This left room for listing premium and post-listing appreciation. Overpriced IPOs consistently underperformed.
Pattern 2 — Fresh issue for growth. IPOs that raised fresh capital for business expansion (new plants, R&D, geographic expansion) performed better than those dominated by OFS (promoter/PE exit). The market rewards growth investment, not insider cash-outs.
Pattern 3 — Strong and growing profitability. Companies with 3 years of growing revenue AND improving profit margins consistently outperformed. Revenue growth without profitability (common in consumer tech IPOs) was penalised.
Pattern 4 — Sector tailwinds. Companies operating in structurally growing sectors (digital transformation, healthcare, renewables, chemicals) had a built-in demand base that lifted their stock prices post-listing.
Pattern 5 — High QIB subscription. Without exception, the top-performing IPOs had QIB subscription above 15x. Strong institutional backing was the single best predictor of both listing gains and post-listing performance.
Key Lessons for 2026 IPO Investors
Based on the 2025 performance data, here are seven actionable lessons for investors approaching the 2026 IPO market:
Lesson 1 — Valuation matters more than brand name. Hyundai India proved that even the most recognised brand can deliver poor IPO returns if the valuation is stretched. Always compare the IPO P/E with listed peers before applying.
Lesson 2 — QIB subscription is the best predictor. Track our subscription page and prioritise IPOs where QIB subscription exceeds 10x. Institutional investors do deeper research than retail investors, and their buying signals are highly informative.
Lesson 3 — OFS-heavy IPOs underperform. Be cautious when the Offer for Sale component exceeds 50 percent of the issue size. This means most of the IPO money goes to existing shareholders, not to company growth.
Lesson 4 — GMP is directionally useful but imprecise. Use our GMP tracker as one input, not the sole decision factor. GMP correctly predicted the direction of listing (up or down) in about 65 percent of 2025 IPOs, but the magnitude was often significantly off.
Lesson 5 — Listing gain is not the only metric. Some of the best long-term returns came from IPOs with modest listing gains. If you believe in a company's fundamentals, holding through a muted listing can be more profitable than chasing high-GMP IPOs for quick flips.
Lesson 6 — Diversify across IPOs. Do not put all your IPO capital into a single issue. Apply for multiple IPOs across sectors and sizes to diversify risk. The allotment lottery ensures you will not get into every IPO anyway.
Lesson 7 — Market timing affects everything. IPOs launched in bullish market phases consistently outperformed those launched during corrections. If you have flexibility, allocate more capital to IPOs when broader market conditions are favourable (Nifty above its 200-day moving average, positive FII flows).
How to Use Past Performance Data
Historical IPO performance data is a valuable research tool, but it must be used correctly. Here are the right and wrong ways to use it:
Right way: Use past performance to identify patterns — which sectors outperform, what valuation ranges work, which subscription levels predict good listings. These structural patterns tend to repeat.
Wrong way: Assume that because sector X performed well in 2025, every sector X IPO in 2026 will also perform well. Each IPO is a unique company with its own fundamentals, valuation, and market timing.
Right way: Study why specific IPOs failed — was it valuation, profitability, or market timing? These lessons help you evaluate new IPOs more critically.
Wrong way: Extrapolate exact listing gains from past IPOs to future ones. Markets evolve, sentiment shifts, and valuations change. A 50 percent listing gain in 2025 does not mean a similar company will list at 50 percent premium in 2026.
You can access complete historical performance data on our performance tracker, which shows listing gains and current returns for all IPOs from 2020 to the present. Use this data to build your own analytical framework for evaluating upcoming IPOs.
Check our IPO listing page for all currently open and upcoming IPOs with real-time data.
Frequently Asked Questions
Which was the best IPO of 2025 overall?
The answer depends on your time horizon. For listing day gains, several mid-cap technology and healthcare IPOs delivered 40-80 percent returns. For long-term returns (issue price to current price), companies with consistent revenue growth and improving profitability outperformed, even if their listing gains were modest.
Should I only apply for IPOs from sectors that performed well in 2025?
No. Sector performance varies year to year. A sector that underperformed in 2025 may outperform in 2026 if valuations become attractive or if a sector-specific catalyst emerges. Evaluate each IPO on its individual merits — company fundamentals, valuation, and growth prospects — rather than blindly following sector trends.
How can I find past IPO performance data?
Our performance tracker provides listing day gains and current returns for all IPOs from 2020 to the present. You can filter by year, sector, and type (mainboard vs SME) to analyse trends. The data is updated daily during market hours.
Do mega IPOs (above Rs 10,000 crore) perform differently than smaller IPOs?
Yes. Mega IPOs tend to have lower listing gains because their large issue sizes absorb significant market liquidity, reducing the supply-demand imbalance that drives listing premiums. However, mega IPOs of high-quality companies can deliver strong long-term returns as institutional investors accumulate shares post-listing.
Is it safe to invest in IPOs as a beginner?
IPO investing carries the same risks as any equity investment — company-specific risk, market risk, and valuation risk. Beginners should start with mainboard IPOs (not SME), apply for 1 lot per IPO, focus on well-known companies with profitable businesses, and never invest money they cannot afford to lose. Building a diversified portfolio of IPO allocations over time is safer than concentrating all capital in a single issue.
Disclaimer: This article is published by ipomarket.in for educational and informational purposes only. It does not constitute investment advice, a recommendation to buy or sell any security, or an offer to invest. IPO investments are subject to market risks. Grey Market Premium (GMP) data is sourced from unofficial market participants and is not endorsed by SEBI, NSE, or BSE. Past performance is not indicative of future results. Please read all scheme-related documents carefully and consult a SEBI-registered financial advisor before investing. ipomarket.in is not a SEBI-registered investment advisor or research analyst.