Groww Hits Lower Circuit After 10% Crash Amid Heavy Profit-Booking

Mumbai, Nov 19 : Groww’s parent company, Billionbrains Garage Ventures, hit its first major setback on Wednesday after a strong post-listing rally. Groww shares crashed 10%, slipping straight to the lower circuit in early trade an abrupt reversal after the stock surged over 90% across four sessions.

The sharp drop appears to be a classic bout of profit-booking following an overheated run. Groww listed at ₹100 on November 12 and almost doubled to touch ₹194, prompting early investors and traders to lock in gains.

Short Squeeze Signals Overheating

A key trigger behind Wednesday’s slide was Tuesday’s intense short squeeze. Over 30 lakh shares went into the auction window at the NSE after traders short-sold the stock anticipating a correction.
However, as Groww continued climbing, they failed to deliver shares on the settlement date—highlighting just how overheated the counter had become. Once that pressure eased, a correction was inevitable.

Investors Await Q2 Results

Another factor behind the pullback is the absence of fresh financial disclosures. Groww will announce its quarterly results on November 21, and much of the recent surge has been driven by sentiment rather than earnings.

Without concrete numbers, many investors prefer to wait for clarity before chasing the stock at steep valuations.

Rally Intact Despite Correction

Despite the 10% fall, Groww still remains one of the year’s strongest post-listing performers. Wednesday’s dip resembles a healthy reality check, not a trend reversal.

Volatility is expected to persist until the earnings release, and the market’s next move will depend on whether Groww’s numbers can justify its rapid valuation jump.