IPO — Education & Tools

IPO Allotment Probability Calculator Calculator

Retail oversubscription (×)30×

Number of lots you applied for1 lot

Lot size (shares per lot)50 shares

Issue price (₹/share)₹300

How allotment actually works

SEBI mandates that in an oversubscribed retail category, each applicant gets at most 1 lot (maximum allotment to any single retail applicant). The allotment is by lottery — every valid application gets one lottery ticket regardless of how many lots were applied for.

This means: applying for 14 lots gives the same allotment probability as applying for 1 lot. The only difference is the blocked funds in your UPI mandate.

Exception: If the IPO is undersubscribed in retail (subscription below 1×), everyone who applied gets full allotment.

Applying to IPOs purely for listing gains is speculative. Many IPOs list below issue price. Historical data shows ~40% of IPOs list at a loss within 6 months. GMP (grey market premium) is unofficial and often manipulated.

How to Apply for an IPO Interactive step guide

Timeline — from IPO open to trading

How to Read an IPO DRHP / RHP Interactive checklist

A DRHP runs 300–600 pages. You don't need all of it. Click each section to expand what matters and mark it done as you read.

0 of 6 sections reviewed

Green flags vs red flags — quick reference

✅ Green flags

Large fresh issue for growth capex
Promoters retaining 50%+ stake post-IPO
Revenue growing 3 years consecutively
Positive operating cash flow
Valuation in line with listed peers
Strong anchor investor list
Clear, specific use of IPO proceeds

🚩 Red flags

Large OFS — promoters cashing out
"General corporate purposes" vague use
Revenue spike only in IPO year
Negative cash flow despite profits
Promoter shares heavily pledged
P/E 2–3× higher than listed peers
Ongoing major litigation undisclosed

IPO Terminology — Complete Glossary Reference