Nithin Kamath on IPO Boom: Primary Market Stays Hot as Stocks Slide
Zerodha founder Nithin Kamath has highlighted a striking divergence in India's equity market, with recent IPOs performing strongly even as the broader stock market faces pressure.
India's stock market may be facing a rough patch, but the IPO segment is continuing to attract investors. Zerodha founder and CEO Nithin Kamath has highlighted the unusual gap between the primary market and the broader secondary market, describing IPO activity as one of the few bright spots.
Data shared by Kamath showed that 67.2% of the 125 mainboard IPOs listed between October 2025 and September 2026 were trading above their issue prices as of October 6. The group recorded a median return of 24.7%.
About 17.6% of these listings were up between 50% and 100%, while 13.6% had more than doubled from their issue prices. Another 18.4% gained between 25% and 50%.
The performance marks a sharp improvement over the previous year's cohort. Of the 95 mainboard IPOs launched between October 2024 and September 2025, only 47.4% were above their issue prices, with a median return of -9.4%.
Kamath said the contrast between IPOs and the wider market was unusually stark, calling the primary market a “full-on party” while describing broader conditions as resembling a bear market.
The divergence raises the obvious question of how long IPO enthusiasm can withstand weaker market sentiment. For now, however, new listings are proving that investors haven't exactly left the party—they've simply changed the venue.
