IPO investors waited 609 days for a stock to double on debut. Tempsens Instruments ends the drought

It has been more than 20 months, or 609 days, since the mainboard segment of India’s IPO market last saw a stock deliver a listing-day gain of more than 100%. That long dry spell is finally over.

Tempsens Instruments’ Rs 650 crore IPO made a bumper debut, listing at Rs 634, a massive premium of 111.3% over its issue price of Rs 300 per share.

Official stock exchange data shows that before Tempsens Instruments, Mamatha Machinery was the last mainboard IPO to deliver a listing gain of more than 100%, making its debut at a 147% premium on December 27, 2024.


That year saw six other mainboard IPOs more than double investors’ money on debut. Vibhor Steel Tubes led the pack with a 181.5% listing premium, followed by BLS E-Services at 126%, Premier Energies at 120%, KNR Heat Exchanger at 118%, Unicommerce eSolutions at 117% and Bajaj Housing Finance at 114%.

The contrast with last year could hardly be starker. The previous year was one to forget for the primary market, with not a single mainboard IPO doubling investors’ money on debut. Highway Infrastructure delivered the highest listing gain, debuting at a 65% premium to its issue price. The stock is currently down 35% from its issue price.

Urban Company was next, listing at a 57.5% premium, followed by Aditya Infotech, which debuted at a 50% premium and has since taken its total present gains to a staggering 435%. LG Electronics and GNG Electronics also debuted at 50%, while Meesho posted a listing-day gain of just over 46%.

The IPO market has shown stronger listing gains so far in 2026, although Tempsens’ debut stands out. Coal India subsidiary Bharat Coking Coal made a stellar debut, listing at about a 96% premium to its issue price.

Beharilal Engineering followed with a 64% premium, while IndoMIM and CMG Green Technologies listed at premiums of 44% and 40%, respectively. Dhoot Transmission and Advit Jewels listed at about 37% premiums.

What are analysts saying about Tempsens IPO?

According to a research report by Anand Rathi, Tempsens Instruments is valued at an implied P/E multiple of 35.4x and an EV/EBITDA multiple of 25.64x based on FY26 earnings at the upper end of the IPO price band.

The brokerage believes the company’s strong revenue growth, diversified product portfolio and expanding international presence could support a valuation premium. However, at the upper price band, the IPO appears to be fully valued. Despite the premium valuation, Anand Rathi has initiated a “Subscribe: Long Term” rating on the IPO, suggesting that investors with a long-term investment horizon may consider the issue.

Tempsens Instruments (India) delivered a strong financial performance in FY26, continuing the growth momentum seen in the previous year. The company’s total income increased to Rs 455.86 crore in FY26 from Rs 382.47 crore in FY25, representing a 19% year-on-year growth.

The growth in revenue also translated into improved profitability. The company’s Profit After Tax (PAT) rose to Rs 71.07 crore in FY26 from Rs 62.56 crore in FY25, registering a 14% year-on-year increase.

IPO trend in 2026

While listing gains have returned to the primary market, retail investors are becoming increasingly selective.

Data compiled by ET showed that retail bidders did not even fully subscribe to the quota of stock earmarked for them in nearly a third of the 42 mainboard share listings this year, while the equity portion dedicated to this category was fully subscribed in only 30 offerings.

Furthermore, only 16 of the 42 initial public offerings (IPOs) of 2026 have seen retail subscriptions exceed five times the quota. That accounts for 38% of issues, down sharply from 63% in 2025 and 68% in 2024.

Retail bidders had fully subscribed to their allotted quota in all 50 IPOs of 2024 and in 44 out of 49 issues, or 90%, last year. Even the median retail subscription to IPOs until mid-August has fallen to just 2.32 times the quota across the 42 cases, compared with an astonishing 17.59 times across the 45 IPOs of 2024 and 8.35 times across the 45 issues last year.

“The selective approach of retail investors is a sign of a maturing market,” said Arka Mookerji, co-head of the equity capital markets, JSA Advocates.

The IPO road ahead

A successful IPO listing depends on several factors, including a better business model, future growth potential, return ratios and, of course, the valuations at which the IPOs are priced, said Narendra Solanki, Head of Fundamental Research on Investment Services at Anand Rathi Shares and Stock Brokers.

Also read: Tempsens Instruments shares make blockbuster debut, list at 111% premium

Looking ahead, Solanki believes sentiments are much better now than they were at the start of the year. With the much-awaited IPOs of NSE and Jio lined up, he believes the positive momentum in India’s primary market is likely to continue.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)