Stock closes at 1,819.60 rupees vs IPO price of 1,960 rupees
Company valued under 18 bln vs targeted 19 bln
IPO was oversubscribed but failed to excite retail investors
Focus on SUVs justifies buy ratings, analysts say
Recent India sales slowdown nothing to worry about, exec says

BENGALURUMUMBAI Oct 22 Reuters Hyundai Motor India shares fell 7.2 on their market debut on Tuesday after retail investors gave a lukewarm reception to the country39;s biggest ever initial public offering IPO amid concerns about a lofty valuation and an auto industry slowdown.

The stock listed at 1,934 rupees on the National Stock Exchange, below its offer price of 1,960 rupees, and fell as much as 7.6 before closing at 1,819.60 rupees. That valued the company at 1.48 trillion rupees 17.6 billion.

Hyundai, India39;s No. 2 carmaker with a market share of 15, was targeting a valuation of 19 billion via the offering.

The record 3.3billion IPO was oversubscribed more than twofold last week, led largely by institutional investors. But concerns the price of the shares was set too high compared to future earnings deterred retail investors who worried they would not be able to make gains on the listing.

Including Hyundai, seven of India39;s 10 biggest IPOs have seen share price falls on their first days of trading, according to Dealogic. Losses have ranged from 5 to 27, the data showed.

Analysts said Hyundai39;s weak debut reflected a high valuation, nearterm weakness in car sales, and an…