Dateline: Mumbai | November 10, 2025
India’s largest omni‑channel eyewear retailer Lenskart made a whipsaw stock‑market debut on Monday: the shares listed below the ₹402 issue price, plunged as much as 11% intraday, and then clawed back to finish slightly in the green by the closing bell. On the NSE, Lenskart closed at ₹404.55 (up 0.63% vs issue price), and at ₹403.30 on the BSE after opening at ₹395 and ₹390, respectively. The stock hit day’s lows of ₹356.10–₹355.70 before recovering, underscoring jittery sentiment around premium valuations. [1]
What happened on Day 1
- Muted debut: Lenskart listed at a 1.7–3.0% discount to its ₹402 issue price (₹395 on NSE; ₹390 on BSE). [2]
- Sharp sell‑off, quick rebound: After slipping ~11% to intraday lows near ₹356, the stock rebounded to trade above the issue price in the afternoon and closed marginally higher. [3]
- Market cap & context: Early trades implied a market value near ₹69,000 crore; by midday the company’s market capitalisation on the NSE was reported at ₹69,091.21 crore as prices recovered. [4]
Why the listing stumbled despite a “bumper” IPO
Two forces dominated Day 1: valuation worries and a cooling grey‑market premium (GMP).
- Valuation overhang: Brokerages and institutional voices flagged stretched multiples even before listing. Analysts noted Lenskart’s P/E near ~238x on FY25 earnings, and price‑to‑sales around 10x, levels above many established retail peers. [5]
- GMP fizzled: A once‑hefty unofficial premium that reportedly peaked near ₹95–₹108 ahead of the IPO collapsed to near zero just before debut, foreshadowing a flat/weak listing. [6]
The IPO at a glance
- Issue size:₹7,278 crore (fresh issue ~₹2,150 crore; OFS ~₹5,128 crore). Price band: ₹382–₹402. Lot size: 37 shares. Overall subscription:28.26x, driven by strong institutional demand. [7]
- Anchors: The company raised ₹3,268 crore from 147 anchor investors on October 30, ahead of opening the book. Half the anchor allotment is locked for 90 days and the remainder for 30 days from allotment. [8]
- Use of proceeds: Expansion of company‑owned, company‑operated (CoCo) stores in India; lease/rent/license payments for these stores; tech & cloud infrastructure; brand marketing; potential M&A; and general corporate purposes. [9]
What management said
Co‑founder & CEO Peyush Bansal played down the valuation debate at the listing ceremony, framing the public debut as a step toward the company’s mission of improving eye‑care access rather than a chase for headline valuations. He emphasised sustainable growth and long‑term partnerships as priorities. [10]
The business in brief
Lenskart has scaled an omni‑channel network approaching ~3,000 stores across India and overseas, melding in‑house manufacturing/design with a tech‑led supply chain. The company reported a return to profitability in FY25 alongside ~23% revenue growth. Still, analysts note that margins are thin and some FY25 profit uplift included one‑off items tied to acquisitions—factors that fed into today’s valuation caution. [11]
How Day 1 compares with peer & market mood
At the listing price, Lenskart’s ~₹69,000 crore valuation is far below jewellery‑eyewear conglomerate Titan by market value, underscoring the scale gap even as Lenskart commands premium multiples. More broadly, 2025’s IPO pipeline has been active, but investors are increasingly selective with consumer‑tech narratives where earnings visibility lags growth—today’s see‑saw trade encapsulated that shift. [12]
Key numbers from Listing Day (Nov 10, 2025)
- Issue price: ₹402
- Listing: ₹395 (NSE), ₹390 (BSE)
- Low / High (intraday): ₹356.10 / ₹413.75 (NSE)
- Close:₹404.55 (NSE), ₹403.30 (BSE)
- Overall subscription:28.26x
- IPO size:₹7,278 crore (Fresh: ₹2,150 crore; OFS: ₹5,128 crore) [13]
Investor takeaway: What to watch next
- Earnings delivery vs. multiple: With Day‑1 volatility behind it, the debate now pivots to execution—store productivity, same‑store sales, and margin progression must catch up to the premium multiples. [14]
- Anchor lock‑ins & supply: Near‑term 30/90‑day lock‑up expiries for anchors could add supply; watch order‑book dynamics around those windows. [15]
- Profit quality: Keep an eye on adjustments to FY25 profitability and whether operating margins inflect without one‑offs. [16]
- Expansion spend: Management plans sizable CoCo build‑outs and tech investments; the cadence of capex and ROI will be key to sustaining growth without pressuring cash flows. [17]
Bottom line
Lenskart’s debut underscores a maturing Indian IPO market: strong demand for category leaders, but no free pass on valuations. The stock’s quick round‑trip from a 3% discount listing to 11% down to closing above the issue price signals investors are willing to back the story—if earnings and cash‑flow trajectories accelerate from here. For now, sentiment is constructive but conditional on fundamentals. [18]
Sources (Nov 10, 2025 coverage): Times of India analysis of listing‑day slump and valuation debate; LiveMint and Business Standard for listing/close prices and intraday range; The Telegraph for market cap, IPO composition and use of proceeds; Financial Times and Reuters for valuation context, store scale and market perspective; Indian Express and Economic Times for live‑blog/listing details and CEO remarks. [19]
Disclosure: This article is for information purposes only and is not investment advice.
References
1. www.livemint.com, 2. www.livemint.com, 3. indianexpress.com, 4. www.telegraphindia.com, 5. www.ft.com, 6. www.business-standard.com, 7. www.livemint.com, 8. www.business-standard.com, 9. www.telegraphindia.com, 10. m.economictimes.com, 11. www.ft.com, 12. www.reuters.com, 13. www.livemint.com, 14. www.ft.com, 15. www.livemint.com, 16. timesofindia.indiatimes.com, 17. www.telegraphindia.com, 18. www.livemint.com, 19. timesofindia.indiatimes.com
