The “Big Daddy” of the Indian EV revolution is facing a brutal reality check. On Monday, February 16, 2026, the shares of Ola Electric Mobility crashed below the critical ₹30 mark, settling at an all-time low. This sell-off follows a disastrous third-quarter earnings report that saw the company’s top line effectively cut in half.
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Since its hyped IPO at ₹76, the stock has now lost over 62% of its value. While CEO Bhavish Aggarwal characterizes this period as a “structural reset,” investors are increasingly treating it as a red flag for the company’s long-term survival in a maturing EV market.
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Q3 FY26 Performance: The “Structural Reset” or a Survival Crisis?
The financial data released on February 13 paints a grim picture of a company losing ground rapidly.
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Revenue Freefall: Revenue from operations dropped to ₹470 crore, a massive 55% decline from ₹1,045 crore in the same period last year.
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Volume Collapse: Ola delivered just 32,680 units this quarter, compared to 84,029 units in Q3 FY25.
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Widening Sequential Loss: While the year-on-year loss narrowed slightly to ₹487 crore, it actually increased by 17% on a quarter-on-quarter basis from Q2 FY26.
The Service Nightmare: Why Customers are Defecting
Our analysis of regional Vahan registration data highlights a singular culprit: after-sales distrust.
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Service Gaps: Widespread reports of long repair turnaround times and “unreliable” software have crippled brand loyalty.
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The “Ampere” Sensation: In a shocking turn of events, value-focused brands like Ampere overtook Ola in sales during the first half of February 2026. Consumers are increasingly choosing “functional and reliable” over “flashy and tech-heavy.”
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Investigative Angle: The “Net Debt” Trap
An investigative note from Emkay Global reveals a concerning shift in the company’s balance sheet.
The Strategy: As of the nine-month period ending FY26, Ola has reportedly turned net debt (₹6.7 billion) from a net cash position of ₹1.6 billion just six months ago. With cash and cash equivalents dropping 31.4% quarter-on-quarter to ₹1,991 crore, the company’s “cash burn” is outstripping its ability to generate revenue. Unless a strategic stake sale in the battery/cell business occurs soon, the company faces severe liquidity strain.
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[OLA ELECTRIC vs. COMPETITORS: MARKET SHARE (JAN 2026)]
| Brand | Jan 2025 Share | Jan 2026 Share | Current Status |
| TVS Motor | 19.2% | 24.5% | Market Leader |
| Bajaj Auto | 14.8% | 21.2% | Rising Dominance |
| Ather Energy | 12.1% | 17.4% | Premium Growth |
| Ola Electric | 24.8% | 6.0% | Critical Decline |
The Rival Surge: TVS and Bajaj Take the Crown
While Ola struggles, incumbent giants like TVS Motor and Bajaj Auto have successfully executed their EV pivots. By leveraging their existing massive service networks, these brands have become “safe harbors” for first-time EV buyers. Even Ather Energy has managed to increase its market share to 17.4% by focusing on build quality and consistent software, leaving Ola isolated as its market share plummeted from 35.5% in 2024 to single digits today.
Next Steps
If you are an investor, you should avoid “averaging down” until the stock shows signs of stabilization above the ₹32 resistance level, as technical analysts predict a further slide to ₹26 or even ₹20. Furthermore, if you are a potential buyer, you should wait for the Q4 service audit reports expected in May to see if the company’s “service stabilization” plan actually reduces customer complaints.
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