Anand Rathi Gives Nykaa Buy Rating with ₹400 Target as FY26 Revenue Hits $1 Billion

Anand Rathi has started coverage on Nykaa, giving the e‑commerce stock a buy rating and a target price of ₹400. The brokerage values the company at about 50 times its projected FY29 EBITDA, saying it should trade at a premium to peers because of a long growth runway, category leadership and expanding margins. Nykaa posted a record FY26 revenue of roughly $1 billion after two years of post‑listing volatility that saw weak growth and margin pressure in its fashion arm. The firm’s turnaround plan relies on a dual‑engine strategy: premium‑pricing in its core Beauty and Personal Care (BPC) segment and improving the economics of its fashion vertical. Management highlighted a leading share in beauty, premium and exclusive brand ties, steady momentum in the House of Nykaa range, and better unit economics in Nykaa Fashion as differentiators. The broker noted that rising digitally‑savvy shoppers and a shift from offline to online, as well as from unorganised to organised retail, position Nykaa well. Over the past week the shares fell 0.40%, rose 1.35% in the last month, are up 26.68% year‑to‑date, 30.75% over the past year and have climbed 133.87% in three years, delivering strong wealth creation for long‑term holders. ## Context Nykaa is a leading Indian online retailer focused on beauty and fashion, and its performance is closely watched as the country’s e‑commerce market expands.