Ola Electric Shares Surge 70% in April on Sales Revival: Are They a More Attractive Investment than Ather?

Ola Electric's Sales and Share Price Surge Amid Hopes of Stabilizing Demand

Ola Electric's sharp turnaround in sales and share price performance has captured the attention of investors, who are hopeful that sales figures may be stabilizing after a long period of disappointment. The company's stock price has surged 70% in April so far, boosted by an increase in vehicle registrations to 10,117 units in March from 3,973 units in February. This surge has also seen daily orders cross 1,000 units in the last week of March, giving the market confidence that demand had not collapsed permanently.

Improved Service Quality and Reduced Concerns

The company, which had faced service-related challenges in recent months, has reported that over 80% of vehicles are now serviced on the same day, further easing concerns. This improvement in service quality has contributed to the market's growing confidence in Ola Electric's ability to meet demand. The company's stock had seen back-to-back losses for six months, during which it eroded 85% of its value, showing signs of peak pessimism. The stock had plumbed a fresh low of ₹21.21 per share, with its market cap wiping off nearly ₹9,000 crore from investor wealth.

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Comparison with Ather Energy

Interestingly, Ola Electric Mobility's sharp rise has also eclipsed the performance of peer Ather Energy this month. Ather Energy shares have inched higher by 19% in April so far and are headed higher for the third month in a row, signaling a stable interest in the counter. So far in 2026, Ather Energy has added 18%, building on the 152% increase seen last year since its listing in April.

Analyst Perspectives

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Despite lagging Ola, analysts find Ather to be a more compelling bet due to stronger execution, improving market share, and relatively controlled losses. Ola's stock price has been highly sensitive to news-driven catalysts and milestones like the LFP battery plant being operational and some recovery in volumes in March, while Ather's has shown a sustained momentum since listing, rising ~180% since its IPO, rooted in focused execution. According to Dhruv Joshi, Research Analyst at Mirae Asset ShareKhan, Ather has invested in R&D and developed its products from the ground up, making servicing products more dependable than the competition.

Financial Performance Comparison

Market Share and Plans

Ather has a focused approach to operational excellence, visible in its narrowing losses and improving market share. The company plans to expand its network from 350 EC to 700 EC by the end of FY26 and has launched Rizta, which have brought strong sales volumes and improved market share to ~19%. Virat Jagad, Sr. Technical Research Analyst at Bonanza, believes that Ather's consistent delivery and premium positioning provide better near-term visibility, whereas Ola is still grappling with profitability concerns, volatile sales trends, and execution challenges despite higher gross margins potential.

Caution and Risks

However, analysts remain cautious on both names due to the sharp rise in the stocks, suggesting that investors should exercise caution as valuations appear stretched and much of the optimism is already priced in. Joshi also highlighted that FII and DII have shown confidence in the company and collectively hold ~45.5% in Ather, but finds after-sales service and corporate governance issues to be pain points for Ola. Any hiccups in Ola's battery factory yields or a faster-than-expected taper in government incentives could trigger a sharp correction, he added.

Industry Outlook

The EV two-wheeler space is still evolving with rising competition from legacy players and policy uncertainties. Hence, fresh entry at elevated levels may be risky, and a staggered or correction-based approach would be more prudent for long-term investors.