Lenskart sees muted listing after frenzy in run-up to IPO

Lenskart Shares List Flat Amid High Valuation Concerns.

Expert Analysis:

• Listing Performance: Lenskart made its market debut at a 3% discount to its IPO price of Rs 402 but closed slightly higher at Rs 403.3. The subdued listing reflected cautious investor sentiment despite strong brand recognition in the tech-driven eyewear segment.

• Valuation Concerns: Investors expressed worry over Lenskart’s steep valuation, trading at a price-to-earnings multiple of 230 times, signaling potential overpricing risk in the near term.

• Market Impact: The muted listing impacted grey market premiums of peers like Groww, Pine Labs, and Physicswallah, indicating reduced short-term listing gains across new-age tech firms.

• Brokerage View: Ambit has issued a sell call with a target price of Rs 337, projecting a 16% downside from Lenskart’s current close of Rs 403.3.

• Trading Volume: Over 14 crore shares were traded versus 18.1 crore shares offered in the IPO, reflecting moderate retail and institutional participation.