Valuation of India's Nykaa parent enhanced post sell-off, HSBC says

Fsn E-Commerce Ventures

19/03/2024 07:56

** Shares of Nykaa parent FSN E-Commerce Ventures  FSNE.NS 
are attractive post 12% drop this year, HSBC analysts say
    ** Co's beauty and personal care (BPC) business trades at
appealing valuations, HSBC says
    ** Current valuation of 70x FY26 PE for the standalone BPC
business implies long-term earnings compounding, analysts say
    ** Brokerage says co out-investing rivals in building its
beauty ecosystem 
    ** HSBC retains "buy" with target price of 240 rupees
    ** FSNE stock rated "buy"; median PT 183.50 rupees - LSEG
data
    ** FSNE shares last down 0.1% at 152.20 rupees; stk rose
over 12% last year



 (Reporting by Sethuraman NR in Bengaluru)
 ((Sethuraman.NR@thomsonreuters.com; (+91 9945291420); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))