What is IPO GMP (Grey Market Premium)? Complete Guide for Investors
Published on 2026-08-01 by IPO Trnding Team
Learn how IPO Grey Market Premium works, how it is calculated, and how to use GMP data effectively.
Grey Market Premium (GMP) is the unofficial price premium at which IPO shares trade in the over-the-counter market before they are formally listed on NSE or BSE.
If an IPO issue price is ₹100 and the current GMP is ₹40, the expected listing price is:
Expected Listing Price = Issue Price + GMP = ₹100 + ₹40 = ₹140 (40% Listing Gain estimate).
Important Factors:
- GMP is purely market sentiment driven.
- It changes daily based on overall stock market indices and institutional demand.
- Always review company financials along with GMP before applying.