Lenskart share price could rise another 40% despite recent outperformance, Nomura says

Shares of Lenskart Solutions gained up to 3% on Monday, August 31, after brokerage firm Nomura initiated coverage on the stock.

The brokerage initiated coverage on Lenskart with a "buy" recommendation and a target price of ₹888 apiece. This indicates an upside of nearly 40% from its previous closing price. This is also the highest price target for the stock among the 23 analysts who have coverage on the stock.

Nomura said Lenskart has transformed from being a challenger to a market leader in a highly-customised, fragmented and unorganised prescription eyewear category in India, with market share still at just 5%, double of the number 2 player.

Lenskart has created a strong moat, a scalable and profitable business model with end-to-end vertical integration leading to cost structure being lower by 35-40% than industry average, Nomura said.

In the international segment, Lenskart has barely scratched the surface and the doubts about profitability seem to have faded, the brokerage added.

Nomura has highlighted three important factors as to why it sees a steady, long-term EBITDA (pre-Indian Accounting Standards) margin of 25% for Lenskart, compared to 11% in financial year 2026. These include:

• Scale up of the international business.


• Increased adoption of progressive lenses against only 25% eyeglasses coverage, which could lead to a potential margin expansion.


• Operating leverage, an asset-light store expansion, centralized inventory and digitally influenced sales help attain incremental volumes with minimal costs.

Lenskart has been in the news after existing investors have been paring down their stake after the recent rally in the stock price.



First, on August 24, Softbank Vision Fund (SVF) II Cayman sold 4.5 crore shares of Lenskart Solutions worth 2,887.9 crore. Societe Generale ODI bought 1.07 crore shares worth 688.92 crore in the transaction. The deal was at an average price of 641.75 apiece.

Later on August 28, Alpha Wave Ventures and its affiliated entities offloaded 2.95 crore shares of Lenskart for around 1,857 crore, which were bought by institutional investors including mutual funds, pension funds, insurers and overseas investors.

Of the 23 analysts who have coverage on Lenskart Solutions, 19 have a "buy" rating, three have a "hold" rating and one has a "sell" rating.

Shares of Lenskart are trading 2.1% higher on Monday at ₹649.25. The stock has risen 15% in the last one month and has extended its year-to-date advance to 50%.

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