New Delhi, July 16 -- Known for its aggressive expansion, Ola Electric's pivot towards profitability has brought relief to investors. To be sure, revenues halved in the last reported quarter, and losses widened. But management'sintent to shift focus towards profitability, close on the heels of the auto business' first Ebitda-positive month, has kindled hopes of a long-awaited turnaround in the business.

After eroding more than half of investors' wealth since listing, the stock rallied almost 20% on Monday. Is this the light at the end of the tunnel for Ola investors, or is it a sucker's rally?

Founded in 2017, Ola Electric was among the first movers in the electric two-wheeler space. Over the years, it has burnt cash with competitive pr...