Lenskart Solutions IPO Opens Today: Should You Subscribe At High Valuation Or Wait?

Lenskart Solutions Ltd., India’s largest eyewear retailer, opens its Rs 7,278 crore initial public offering today. The issue is priced between Rs 382 and Rs 402 per share, with a minimum bid size of 37 shares.

Of the total offer, Rs 2,150 crore will be raised via fresh equity and Rs 5,128 crore through an offer-for-sale by existing investors including SoftBank Vision Fund, Kedaara

Capital, TR Capital, and Chiratae Ventures. The IPO closes on Nov. 5, the allotment will be finalised on Nov. 6, and listing is expected on Nov. 10. At the upper end, the company’s valuation stands near Rs 70,000 crore.

Keeping the high valuations and its offerings in mind here is what brokerages have to say about Lenskart.

SBI Securities noted that while Lenskart’s leadership in India’s organised eyewear space and its scalable business model are positives, the IPO is priced at demanding valuations which may limit near-term listing gains.

The brokerage recommends subscribing only for the long term, citing Lenskart’s steady margin improvement and potential to benefit from India’s underpenetrated eyewear market.

Risks include heavy dependence on imports from China, exposure to franchise-run stores that may dilute brand control, and possible demand erosion from corrective eye surgeries such as LASIK and SMILE.

Bajaj Broking highlighted Lenskart’s strong omnichannel network, AI-led manufacturing, and centralised supply chain as key differentiators. However, it also raised concerns about steep valuations in relation to its peers, making the IPO appear expensive.

The brokerage cautioned that the company’s profitability remains sensitive to raw material price swings, import dependence, and regional concentration of manufacturing facilities in Gurugram and Rajasthan. It also pointed out execution risk in the upcoming greenfield plant in Hyderabad and vulnerability to legal and regulatory shifts.

Axis Capital emphasised Lenskart’s integrated business model and growing global footprint across Asia and the Middle East. With over 2,800 stores and 10 crore app downloads, it is among Asia’s top two organised eyewear retailers.

However, it flagged that the company’s reliance on overseas manufacturing partners, particularly its Chinese joint venture, adds supply-chain vulnerability.

While revenue growth has been strong with 22.6% year-on-year rise to Rs 6,652 crore in financial year 2025, profitability remains modest relative to valuation. The firm’s international ambitions may also stretch management focus and increase execution complexity.

Nirmal Bang pointed to Lenskart’s strong technology integration, brand strength, and efficient manufacturing setup as long-term positives. It also noted rapid financial progress, with revenue and Ebitda growing at 32.5% and 92.3% CAGRs over fiscal 2023–25 and the company turning profitable in financial year 2025.

Still, at a P/E of 235x and EV/Ebitda of 68x, the IPO looks expensive. The brokerage warned that the company’s aggressive expansion, particularly in international markets, could expose it to operational and integration risks. Heightened competition, regulatory changes, and potential margin pressures could also weigh on future earnings.