Lenskart IPO only major public issue this year to list at discount, recovers to end debut day in green

Lenskart Solutions IPO

Eyewear retailer Lenskart Solutions Ltd made a muted debut on the bourses on Monday, becoming the only major IPO so far this year above Rs 4,000 crore to list at a discount. The stock opened at Rs 395 on the NSE, about 1.7 percent below its issue price of Rs 402 per share.

Lenskart stock later recovered, ending its debut day trading at Rs 404.55, up 0.6 percent from the IPO issue price.

Despite strong brand recall and robust IPO subscription, Lenskart listing disappointed investors who had bet on the company’s growth story in India’s expanding eyewear market. The Rs 7,278-crore IPO had been subscribed 17.6 times, reflecting significant institutional interest.

Lenskart's business model robust, but high valuation a concern

Shivani Nyati, head of wealth at Swastika Investmart Ltd, said Lenskart’s listing “indicated a muted response despite strong brand visibility and market dominance in the eyewear segment.” She noted that Lenskart, one of India’s largest omni-channel eyewear retailers, enjoys strengths such as a vertically integrated business model, in-house manufacturing, and a strong presence across online and offline channels.

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“While concerns around high valuation, recent losses, and competitive intensity weighed on short-term sentiment, the IPO received solid institutional interest backed by expectations of strong growth in international markets and improving margins,” Nyati said. “Investors allotted shares may consider holding for the medium to long term, supported by earnings visibility and expanding store footprint, with a stop loss around Rs 350.”

Independent market analyst Ambareesh Baliga told Reuters that the weak debut highlighted how valuations remain crucial in IPO investing. “Lenskart looks good from a business model perspective, but at the right valuation which is much lower than the current levels,” he said. “The listing shows the importance of looking at valuation and not going blindly by grey market premium or oversubscription to apply for an IPO.” Baliga added that such a debut, despite strong subscription, could dampen retail investor enthusiasm in upcoming public offerings.

Major IPOs listing gains: LG Electronics, NSDL, HDB Financial Services

While Lenskart’s weak debut stood out, most other major IPOs this year have rewarded investors on listing. LG Electronics India’s Rs 11,600-crore issue delivered one of the strongest debuts of 2025, listing with a gain of about 50 percent over its issue price of Rs 1,140. Similarly, Anthem Biosciences’ Rs 6,791-crore IPO listed nearly 27 percent higher, and National Securities Depository Ltd (NSDL) shares opened 10 percent above the issue price of Rs 800.

Among other major public issues such as Knowledge Realty Trust and Travel Food Services saw listing gains of 3 percent and 2.3 percent, respectively. Larger names Tata Capital’s Rs 15,500-crore IPO and HDB Financial Services’ Rs 12,500-crore IPO also listed in the green, with 1.2 percent and 12.8 percent gains, respectively.

In that context, Lenskart’s negative debut shows investor caution towards high-growth consumer businesses at steep valuations, even as the broader primary market continues to show strong momentum.

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