Nykaa stock now a more attractive 'buy', analysts positive but divided

Through financial modelling, experts arrive at a fair value that ranges between Rs 145 and Rs 360

FSN E-commerce or Nykaa, as its popularly known, was profitable before it went public and that remains the case for the online fashion and personal care retailer. This is unusual for a digitally-driven startup, since the sector focuses on growth rather than profits.

However, like all startups, Nykaa was very highly valued when it went public and it listed at Rs 2,018, a big premium over its issue price of Rs 1,125 in November 2021. According to some calculations, it was believed that the company would need to maintain a revenue compounded annual growth rate (CAGR) of 25 per cent