The scrips surged over 133 per cent before closing 93 per cent higher, which came ahead of the NCLT's order over its admission under the IBC.
The bankruptcy court was to decide on SBI's insolvency plea against Jet Airways under section 7 of Insolvency and Bankruptcy Code (IBC). Its decision to admit the plea came after the closing bell.
"It was a bounce in stock just before the matter is going to NCLT. The derivatives data of Jet in futures suggests it was merely short covering that was triggered," said Mustafa Nadeem, CEO, Epic Research.
"The company has massive debt.. so we don't think there can be some big turnaround. We have seen this kind of volume. That turned out to be a trap. This one would also prove to be the same," he added.
"A bounce back was due but since the on-ground condition of the airline is dull, the surge in the stock price is unlikely to stay for long," said Deepak Jasani of HDFC Securities.
The company also announced the resignation of two independent directors Ashok Chawla and Sharad Sharma on Tuesday, giving another signal that the chances of the airline's revival were remote.
The state-run State Bank of India (SBI)-led consortium of lenders to Jet Airways said on Monday that it had decided to "seek resolution under the Insolvency and Bankruptcy Code (IBC) as only a conditional bid was received and requirement of the investor for SEBI exemptions and resolution of all creditors is possible under IBC".
Besides owing Rs 8,500 crore to public sector banks, the airline has a total liability of about Rs 25,000 crore, which includes dues of operational creditors.
Running out of cash, Jet Airways suspended its entire operations on April 17. The government, subsequently, re-allocated the carrier's slots and foreign traffic rights to rival carriers.
( With inputs from IANS )